Three-way reconciliation. State Bar compliance.
Handled.
IOLTA.ai produces your complete three-way reconciliation and State Bar compliance deliverables. Monthly reconciliation, historical cleanup, annual certification, and CTAPP-ready documentation. From the files you already have.
Three files you already have.
One minute. Done.
What the platform actually finds.
And exactly how it tells you to fix it.
A firm uploaded their August trust records. The platform ran 30+ diagnostics across their bank statement, trust ledger, and 42 client sub-ledgers in 34 seconds. Here's what it found.
Six deliverables. One dropzone.
Everything your State Bar requires.
Every deliverable is produced from the same three files you already download each month: your bank statement, trust ledger, and client sub-ledgers. Each one is sealed with a cryptographic proof record and retained in your compliance vault.
Three-Way Reconciliation
Bank balance, book balance, and client sub-ledger total verified across every pairwise combination. Every variance identified, root cause traced, and fix instructions generated for your specific accounting software. The reconciliation your State Bar mandates, produced and sealed in seconds.
Per-Client Ledger Verification
Every client sub-ledger verified individually against the master trust. Negative balances, cross-posting errors, and commingling risks surfaced automatically. The per-matter accountability that Rule 1.15 requires.
Dormant Balance Identification
Automated aging analysis across 60-, 90-, and 120-day thresholds. Funds in closed or inactive matters flagged with specific recommended actions before they become an unclaimed property liability or a compliance finding.
Earned Fee Sweep Verification
Precise calculation of cleared, earned balances eligible for transfer to your operating account. Prevents premature sweeps, incorrect amounts, and wrong-matter disbursements: one of the most common findings in bar audits.
State Bar Audit-Ready Report
A complete, formatted compliance package ready for State Bar review, CTAPP compliance review, or any auditor request. Executive summary, exception detail, and cryptographic attestation, producible in seconds, not weeks.
Annual Compliance Certification
Twelve months of sealed reconciliation proofs aggregated into your annual State Bar certification. CTAPP-ready. Complete compliance history with cryptographic proof chain. No additional CPA engagement required for the annual filing.
Drop whatever you have.
The engine speaks your software.
The engine does not require a specific export format. It detects your accounting system from the structure of your files, classifies it as matter-centric or register-based, and adapts its entire pipeline (normalization rules, diagnostic thresholds, cure instructions, and re-validation workflow) to match how your software actually works.
Clio firms get 2-file reconciliation because the engine synthesizes client balances from matter IDs on ledger entries. QuickBooks firms get paired cure instructions because ledger and sub-account entries are independent constructs. The intelligence is in the translation layer.
Not just what's wrong.
Exactly how to fix it. Then proof you did.
The engine generates a root-cause remediation plan with system-aware, cascade-sequenced instructions, then seals the corrected reconciliation into a cryptographic compliance record your State Bar can verify independently.
The engine detects your software (Clio, QuickBooks, CosmoLex, PracticePanther, or others) and generates cure instructions specific to that system. Not generic guidance. The exact menu path, the exact transaction type, the exact fields to populate.
A fix to your trust ledger has a sub-ledger implication. A sub-ledger correction changes your client totals. The engine maps every dependency and sequences your cure plan so that fixing one finding does not create another. No whack-a-mole.
Bookkeeping corrections get step-by-step fix instructions with clipboard-ready values. Compliance findings get platform-drafted attestation language you approve with one click. Every finding is categorized: action required, attestation required, or verified reconciling item.
Missed reconciliations from prior months or years? The engine processes historical data the same way it processes current data. Multi-year corrections surfaced and sequenced in seconds, not the weeks a forensic accountant would need.
Every sealed reconciliation is cryptographically linked to the one before it. Altering any historical record breaks the chain in a way that is mathematically provable. No party (including IOLTA.ai) can modify a sealed record without detection.
Verification does not require trusting IOLTA.ai, your bookkeeper, or anyone else. The cryptographic proof is mathematical. Anyone with the hash can verify the record is exactly what was sealed.
Your State Bar requires years of reconciliation records after a matter closes. The vault holds them for the full required duration. When an auditor asks for your March 2024 reconciliation in 2029, you produce it in seconds.
Three-way reconciliation, per-client ledger verification, dormant balance report, earned fee sweep calculation, State Bar audit-ready PDF, and annual certification. Produced, formatted, and sealed in a single pass.
Three numbers matching is arithmetic.
Compliance is forensics.
A balanced reconciliation can still contain commingling, unallocated fees, offsetting errors that cancel each other out, and matter-level gaps hiding behind correct totals. Your bookkeeper checks whether three numbers match. The engine runs a five-tier forensic investigation that traces every dollar across every dimension of your trust.
Three-way balance reconciliation across every pairwise combination. Adjusted bank balance versus book balance versus aggregate client sub-ledger total. The math your bookkeeper does, except the engine also recomputes every client balance from transaction history to verify the reported totals are not masking offsetting errors.
The diagnostics your bookkeeper does not run. Negative client balances that indicate potential commingling. Earned fees sitting in the trust account past their sweep window. Funds from closed matters that should have been disbursed or escheated. Every finding is a Rule 1.15 liability that a balanced reconciliation can hide.
Every bank transaction traced to its ledger entry and its client matter allocation, independently. Unrecorded bank fees, deposits in transit, outstanding checks, and counterparty mismatches surfaced at the individual transaction level. A balanced trust with an unallocated $45 bank fee is not compliant. The engine catches it.
Aging analysis across 60-, 90-, and 120-day thresholds for every matter. Funds in inactive or closed matters flagged before they become an unclaimed property liability. Sweep eligibility calculated for cleared, earned balances, preventing premature transfers and wrong-matter disbursements.
The final pass that no manual process can replicate. The engine verifies that every finding from Tiers A through D has been accounted for across all three legs of the reconciliation. A bookkeeping fix in the ledger without its sub-ledger counterpart creates a new variance. The engine traces every cascade before you touch anything.
Monthly reconciliation to multi-year cleanup.
One platform. Every need.
Whether you need to reconcile this month, clean up three years of missed reconciliations, prepare for a State Bar compliance review, or file your annual certification, the platform handles it from the same dropzone, with the same diagnostic depth.
Monthly Three-Way Reconciliation
The monthly compliance obligation every IOLTA account requires. Drop your three files, and the platform produces your complete three-way reconciliation with root-cause diagnostics, fix instructions written for your specific accounting software, and all six State Bar deliverables. Sealed and vaulted. Every month. In seconds.
Historical Cleanup & Back-Reconciliation
Months or years of missed reconciliations processed with the same diagnostic depth as current-month runs. The platform traces every historical period, surfaces every variance, and sequences the remediation across periods so that corrections in January do not create new findings in February. Multi-year cleanup in minutes, not the weeks a forensic accountant would require.
State Bar Compliance Review Preparation
If your State Bar selects you for a mandatory compliance review (CTAPP in California, or equivalent programs in other states), the platform produces every document the reviewing CPA will request: complete reconciliation history, per-client verification, dormant balance reports, and a cryptographic proof chain that demonstrates continuous compliance. Preparation that could take weeks of CPA billable hours, produced from your vault in seconds.
Annual Certification & Reporting
Twelve months of sealed reconciliation proofs aggregated into your annual State Bar certification. The platform maintains the continuous compliance history required for CTAPP annual filing, Texas annual compliance certification, and equivalent obligations in every jurisdiction. No year-end scramble. No additional CPA engagement for the annual filing.
Ongoing Compliance Monitoring
Your compliance vault tracks every reconciliation, every finding, and every resolution across your entire trust account history. Dormant balances monitored against aging thresholds. Unresolved findings carried forward. Compliance posture visible at a glance, month over month, year over year. When an auditor asks for your March 2024 reconciliation in 2029, you produce it in seconds.
Three-way reconciliation is now mandatory.
The enforcement window is tightening.
Twelve state bars (including California, Florida, New York, and Texas) have adopted a uniform IOLTA compliance standard that mandates monthly three-way reconciliation and shortens the completion deadline from 45 days to 30. Firms that miss a single month face automatic referral to disciplinary review.
California's CTAPP program now selects up to 800 attorneys per year for mandatory compliance reviews conducted by State Bar-approved CPAs, at the attorney's expense. Review costs typically run $5,000 to $25,000 per engagement. The State Bar reports that California attorneys manage over $14 billion in client trust funds.
In 2025, 1,247 attorneys received public discipline for trust account mismanagement. Most did not misappropriate funds. They failed to reconcile correctly, failed to retain records, or failed to produce documentation when the bar asked for it.
IOLTA.ai handles all of it. Monthly three-way reconciliation, per-client verification, dormant balance identification, earned fee sweep calculation, State Bar audit-ready reports, annual certification, and a cryptographic proof chain retained for the full duration your bar requires. From one dropzone. In seconds.
Get compliant. Stay compliant.
Prove it at any moment.
The platform is not a one-time fix. It is the system that keeps your trust account compliant month after month, year after year, with proof that any auditor can verify at any time.
Every month
Drop your bank statement, trust ledger, and client sub-ledgers. The platform runs its full diagnostic sweep, produces all 6 compliance deliverables, walks you through any fixes, and seals the month into your vault. Under a minute. Done.
Year over year
Your compliance vault builds a continuous, cryptographically sealed history of every reconciliation. Annual certification is produced automatically from your sealed monthly records. No year-end scramble.
When they ask
State Bar audit. CTAPP compliance review. Random examination. Whatever it is, you pull up the records in seconds. Complete, organized, tamper-proof, independently verifiable. The audit is a non-event.
Your State Bar requires 5–7 years
of reconciliation records.
Now you have them.
Every reconciliation you run on IOLTA.ai is cryptographically sealed into a tamper-evident compliance vault. Hash-chained, independently verifiable, and retained for the full duration your State Bar requires. When an auditor asks for your March 2024 reconciliation in 2029, you pull it up in seconds. No digging through emails. No calling a former vendor. No hoping someone kept the file.
Three free. No credit card.
See it before you pay.
Drop your bank statement, trust ledger, and client sub-ledgers. Review all six deliverables. Compare them to what you get now. Then decide.
Start free · 3 reconciliations included