When evaluating automation solutions, understanding the true cost difference between manual and automated reconciliation is critical. This analysis examines real-world data from businesses that have made the switch to MatchRecon.
The Hidden Costs of Manual Reconciliation
Manual reconciliation involves more costs than just labor hours. There's the direct time spent matching invoices and purchase orders—typically 5-10 minutes per invoice for straightforward cases, and up to 30 minutes for complex invoices with discrepancies.
But hidden costs add up quickly: errors requiring rework, missed early payment discounts, late payment penalties, strained vendor relationships, and the opportunity cost of finance staff spending time on routine tasks instead of strategic analysis.
Real-World Cost Comparison
Let's examine a mid-sized company processing 500 invoices per month. With manual reconciliation, at an average of 8 minutes per invoice, that's 67 hours of labor monthly. At a fully-loaded cost of $40 per hour, that's $2,680 in direct labor costs.
Add in error correction (estimated 5% error rate requiring 30 minutes each to resolve), and you're adding another $500 monthly. Missed early payment discounts (typically 2% on 30% of invoices) cost another $1,000. Total monthly cost: approximately $4,180.
MatchRecon Automation Savings
With MatchRecon, the same 500 invoices are processed automatically in minutes. The system handles matching, flags exceptions, and even learns from corrections. Labor time drops to about 8 hours monthly reviewing exceptions.
At $40 per hour, that's $320 in labor—a savings of $2,360 on labor alone. Error rates drop to under 0.5%, saving approximately $450 monthly. Early payment discount capture improves to 95%, adding $650 in additional savings. Total monthly savings: $3,460.
ROI Timeline
MatchRecon subscription costs $599 per month for up to 1,000 invoices. With monthly savings of $3,460, the net monthly benefit is $2,861. Over a year, that's $34,332 in net savings—a 476% return on investment.
But the benefits extend beyond direct cost savings. Finance teams report better work-life balance, improved vendor relationships, and the ability to focus on strategic initiatives that drive business value.
Intangible Benefits
Beyond quantifiable savings, automated reconciliation provides better visibility into payables, reduces month-end close time, improves compliance and auditability, and enables better cash flow forecasting.
Organizations also report that automation helps with staff retention—finance professionals prefer working with modern tools and focusing on analysis rather than data entry.
Getting Started
The transition to automated reconciliation is straightforward. Most organizations are fully operational within 2 weeks, with full ROI realized within the first month. MatchRecon offers a 14-day free trial so you can experience the benefits firsthand before committing.
Ready to see how much your organization could save? Try our ROI calculator or schedule a personalized demo to see MatchRecon in action with your actual data.
Ready to Transform Your Reconciliation Process?
Join hundreds of finance teams using MatchRecon to automate invoice reconciliation and save hours every month.