--- title: "Multi-currency accounting: The expert guide to reconciliation and exchange differences" url: https://www.ibani.com/en/guides/multi-currency-accounting-chf-eur lang: en date_modified: 2026-09-30 author: "Brice DELHOME" --- ![CFO Guide Multi-currency Accounting ibani](https://www.ibani.com/images/ibani-comptabilite-b2b.jpg) # Multi-currency accounting: The expert guide to reconciliation and exchange differences Accountants and CFOs: discover the exact entries to record your exchange gains and losses, isolate hidden bank margins, and automate your cross-border reconciliations. Reading time: 8 minutes | **Updated: 30 September 2026** By [Brice DELHOME](https://www.ibani.com/en/author/brice-delhome) 📌 In short: reconciling CHF and EUR receipts - **Multi-currency accounting rests on a simple principle:** an invoice in a foreign currency is recorded at the exchange rate on the invoice date. The difference found when payment comes in is booked as an exchange gain or loss. - **Worked example:** an invoice of CHF 10,000 recorded at 10,500 EUR and collected at 10,400 EUR results in an exchange loss of 100 EUR. - **The banking trap:** SWIFT fees and the bank's exchange margin, which can reach 1% to 2%, arrive mixed with the market difference on the statement. Without a breakdown, the accountant often books the entire shortfall as an exchange loss, which distorts the financial analysis. - **For exact reconciliation:** you need a document that isolates the conversion commission. It is then booked as bank fees, and only the market movement is recorded as an exchange gain or loss. ## How do exchange differences arise? In accounting, the principle is strict: an invoice issued at time T in a foreign currency (for example in CHF for a European company) is recorded at the exchange rate prevailing on the billing date (for example the [ECB reference rate](https://www.ecb.europa.eu/stats/policy_and_exchange_rates/euro_reference_exchange_rates/html/eurofxref-graph-chf.en.html)). When the client pays their due thirty days later, the exchange rate has inevitably fluctuated. This temporal fluctuation creates a mechanical difference that accountants must clear during bank reconciliation: a **foreign exchange gain** or a **foreign exchange loss**. ## Which accounts should you use in Switzerland, France and Germany? Before analyzing the entries, it is crucial to master the nomenclature. Whether you use Swiss software based on the [Swiss general chart of accounts for SMEs](https://www.editionslep.ch/pub/media/complement/935130CONF/PlanComptable2014.pdf) (e.g. GIT WinEUR or Bexio; document in French), the French PCG or the German SKR 03, here are the core accounts to use for commercial operations: | Nature of Operation | Switzerland (SME chart of accounts) | France (PCG) | Germany (SKR 03) | | --- | --- | --- | --- | | **Main Bank Account** | 1020 | 512 | 1200 | | **Accounts Receivable** | 1100 | 411 | 1400 | | **Bank Fees** | 6940 | 627 | 4970 | | **Exchange Losses** | 6949 | 656 | 2150 | | **Exchange Gains** | 6999 | 756 | 2660 | The Swiss SME chart of accounts also provides, among revenue deductions, an account 3096 “Exchange differences” (and an account 4096 on the purchasing side). Italy has no standard numbered chart of accounts: exchange gains and losses are reported under item C.17-bis of the income statement (Article 2425 of the Italian Civil Code). ## How do you post the accounting entries in practice? Let's take the example of a company that invoices a client for an amount of **10,000 CHF**. On the day of issuance, the exchange rate gives a value of 10,500 EUR in your accounting books. To document the rate used, you can [check the CHF/EUR market rate with our converter](https://www.ibani.com/en/currency-converter/chf-to-eur-rate). ### Scenario A: Collection with an Exchange Loss A month later, the client pays 10,000 CHF, but the exchange rate has evolved unfavorably (the Swiss franc has dropped). The company only receives 10,400 EUR on its bank account. - **Debit:** Bank Account for the actual incoming flow (10,400 EUR) - **Debit:** Foreign Exchange Losses for the negative difference (100 EUR) - **Credit:** Accounts Receivable to fully clear the receivable (10,500 EUR) ### Scenario B: Collection with an Exchange Gain Conversely, if the exchange rate has evolved favorably (the Swiss franc appreciated), the company receives 10,600 EUR. - **Debit:** Bank Account for 10,600 EUR - **Credit:** Accounts Receivable for 10,500 EUR - **Credit:** Foreign Exchange Gains for the surplus (100 EUR) For a Swiss SME that invoices in euros and keeps its books in francs, the pattern is symmetrical: the same entries in CHF, using accounts 1020, 1100, 6949 and 6999. ## Why do hidden bank fees distort reconciliation? Accounting theory often collapses when faced with banking reality. When an international transfer passes through the classic SWIFT system, two opaque deductions distort your entries: 1. **Correspondent fees (SWIFT):** Fixed fees taken by intermediary banks. 2. **The "Spread" (Exchange margin):** This is the real scourge for CFOs. The bank applies its own marked-up rate, hiding a commission that can reach 1% to 2%. **The impact on accounting:** The SME's bank statement displays a reduced net sum, without any details. The accountant is unable to mathematically separate what is due to pure market fluctuation (Exchange Gains/Losses) from what is due to pure banking service fees. Lacking data, the accountant often records the entire deficit as an "exchange loss," which distorts the financial analysis. ## The "Smart" method: how ibani makes reconciliation easier Using a specialized platform like ibani greatly simplifies this reconciliation problem, while reducing the exchange cost. ### 1\. A dedicated local collection IBAN (End of SWIFT fees) If you are a European company invoicing Swiss clients, ibani grants you a **Swiss IBAN (CH)** in your company's name. The client pays by domestic transfer, usually free of charge for them. ibani charges no transfer fee on the amount received. ### 2\. Dissociated and transparent pricing Upon receipt of the funds, ibani performs the conversion. The operation is transparent: the conversion starts from the real interbank rate, plus a margin of 0.40% to 0.15% depending on the amount, set by a published fee schedule. The applied rate and the timestamp of each transaction appear in your history, which makes it possible to isolate the cost of the service. ### 3\. Finally, an exact accounting entry Thanks to the exportable ibani transaction history (amounts, applied rate, timestamp), your accountant or fiduciary has the information needed to allocate the entry correctly: - **Debit:** Bank (Final net flow received) - **Debit:** Exchange fees (bank charges and commissions account) for the ibani margin, calculated from the published fee schedule. - **Debit or Credit:** Exchange Losses or Gains for the *true* exchange difference linked to market fluctuation. - **Credit:** Accounts Receivable (For the initial invoice). #### Exports to your accounting software Manual reconciliation is time-consuming. The ibani platform allows CFOs to export the transaction history in CSV or Excel format, which can be imported into common accounting software (Bexio, Crésus, Winbiz, Abacus), speeding up month-end closing. ### Calculate the savings on your next client collection [Discover the ibani solution for businesses](https://www.ibani.com/en/businesses) ## Frequently Asked Questions (CFOs & Accountants) When a foreign currency invoice is collected at an exchange rate lower than that of its issuance, the negative difference must be recorded as a debit to the Foreign Exchange Losses account to balance the closing of the Accounts Receivable. If the exchange rate has evolved favorably between billing and collection, the surplus received by the company (compared to the initial receivable) must be recorded as a credit to the Foreign Exchange Gains account. The complexity comes from international bank fees and the "spread" (hidden margin) taken by the bank during conversion. The accountant receives a net sum that mixes natural exchange risk and bank fees, forcing them to blindly record bank fees as an exchange loss, thereby distorting management analysis. ## Official sources - [BIC - Frais et charges - Charges financières - Pertes résultant d'une modification des taux de change (BOI-BIC-CHG-50-70), French tax doctrine on exchange losses (in French)](https://bofip.impots.gouv.fr/bofip/1413-PGP.html/identifiant=BOI-BIC-CHG-50-70-20120912) — impots.gouv.fr, accessed 29 September 2026 - [ECB euro reference exchange rate: Swiss franc (CHF)](https://www.ecb.europa.eu/stats/policy_and_exchange_rates/euro_reference_exchange_rates/html/eurofxref-graph-chf.en.html) — European Central Bank, accessed 29 September 2026 - [Swiss general chart of accounts for small and medium-sized enterprises (abridged version, document in French)](https://www.editionslep.ch/pub/media/complement/935130CONF/PlanComptable2014.pdf) — Éditions LEP, accessed 30 September 2026 - [DATEV chart of accounts SKR 03, valid for 2026 (document in German)](https://www.datev.de/content/dam/markenassets/themen-und-produktgruppen/zielgruppen/mandant/unternehmer/branche/bau/11174%20SKR03%20BilrUg.pdf) — DATEV eG, accessed 30 September 2026 - [Italian Civil Code, Article 2425: content of the income statement (page in Italian)](https://www.brocardi.it/codice-civile/libro-quinto/titolo-v/capo-v/sezione-ix/art2425.html) — Brocardi.it, accessed 30 September 2026 ## A question about your exchange fees? We support SMEs and fiduciaries that want to reduce the cost of their cross-border cash flows. Our B2B team, based in Geneva, is at the disposal of your financial department by [email](https://www.ibani.com/en/contact) or by [phone](https://www.ibani.com/en/contact) from Monday to Friday. [Back to guides](https://www.ibani.com/en/guides)