castle/PHASE2_COMPLETE.md

Phase 2: Reconciliation - COMPLETE ✅

Summary

Phase 2 of the Beancount-inspired refactor focused on reconciliation and automated balance checking. This phase builds on Phase 1's foundation to provide robust reconciliation tools that ensure accounting accuracy and catch discrepancies early.

Completed Features

1. Balance Assertions ✅

Purpose: Verify account balances match expected values at specific points in time (like Beancount's balance directive)

Implementation:

• Models (models.py:184-219):

  • AssertionStatus enum (pending, passed, failed)
  • BalanceAssertion model with sats and optional fiat checks
  • CreateBalanceAssertion request model

• Database (migrations.py:275-320):

  • balance_assertions table with expected/actual balance tracking
  • Tolerance levels for flexible matching
  • Status tracking and timestamps
  • Indexes for performance

• CRUD (crud.py:773-981):

  • create_balance_assertion() - Create and store assertion
  • get_balance_assertion() - Fetch single assertion
  • get_balance_assertions() - List with filters
  • check_balance_assertion() - Compare expected vs actual
  • delete_balance_assertion() - Remove assertion

• API Endpoints (views_api.py:1067-1230):

  • POST /api/v1/assertions - Create and check assertion
  • GET /api/v1/assertions - List assertions with filters
  • GET /api/v1/assertions/{id} - Get specific assertion
  • POST /api/v1/assertions/{id}/check - Re-check assertion
  • DELETE /api/v1/assertions/{id} - Delete assertion

• UI (templates/castle/index.html:254-378):

  • Balance Assertions card (super user only)
  • Failed assertions prominently displayed with red banner
  • Passed assertions in collapsible panel
  • Create assertion dialog with validation
  • Re-check and delete buttons

• Frontend (static/js/index.js:70-79, 602-726):

  • Data properties and computed values
  • CRUD methods for assertions
  • Automatic loading on page load

2. Reconciliation API Endpoints ✅

Purpose: Provide comprehensive reconciliation tools and reporting

Implementation:

• Summary Endpoint (views_api.py:1236-1287):

  • GET /api/v1/reconciliation/summary
  • Returns counts of assertions by status
  • Returns counts of journal entries by flag
  • Total accounts count
  • Last checked timestamp

• Check All Endpoint (views_api.py:1290-1325):

  • POST /api/v1/reconciliation/check-all
  • Re-checks all balance assertions
  • Returns summary of results (passed/failed/errors)
  • Useful for manual reconciliation runs

• Discrepancies Endpoint (views_api.py:1328-1357):

  • GET /api/v1/reconciliation/discrepancies
  • Returns all failed assertions
  • Returns all flagged journal entries
  • Returns all pending entries
  • Total discrepancy count

3. Reconciliation UI Dashboard ✅

Purpose: Visual dashboard for reconciliation status and quick access to reconciliation tools

Implementation (templates/castle/index.html:380-499):

• Summary Cards:

  • Balance Assertions stats (total, passed, failed, pending)
  • Journal Entries stats (total, cleared, pending, flagged)
  • Total Accounts count with last checked timestamp

• Discrepancies Alert:

  • Warning banner when discrepancies found
  • Shows count of failed assertions and flagged entries
  • "View Details" button to expand discrepancy list

• Discrepancy Details:

  • Failed assertions list with expected vs actual balances
  • Flagged entries list
  • Quick access to problematic transactions

• Actions:

  • "Check All" button to run full reconciliation
  • Loading states during checks
  • Success message when all accounts reconciled

Frontend (static/js/index.js:80-85, 727-779, 933-934):

• Reconciliation data properties
• Methods to load summary and discrepancies
• runFullReconciliation() method with notifications
• Automatic loading on page load for super users

4. Automated Daily Balance Checks ✅

Purpose: Run balance checks automatically on a schedule to catch discrepancies early

Implementation:

• Tasks Module (tasks.py):

  • check_all_balance_assertions() - Core checking logic
  • scheduled_daily_reconciliation() - Scheduled wrapper
  • Results logging and reporting
  • Error handling

• API Endpoint (views_api.py:1363-1390):

  • POST /api/v1/tasks/daily-reconciliation
  • Can be triggered manually or via cron
  • Returns detailed results
  • Super user only

• Documentation (DAILY_RECONCILIATION.md):

  • Comprehensive setup guide
  • Multiple scheduling options (cron, systemd, k8s)
  • Monitoring and troubleshooting
  • Best practices
  • Example scripts

Benefits

Accounting Accuracy

• ✅ Catch data entry errors early
• ✅ Verify balances at critical checkpoints
• ✅ Build confidence in accounting accuracy
• ✅ Required for external audits

Operational Excellence

• ✅ Automated daily checks reduce manual work
• ✅ Dashboard provides at-a-glance reconciliation status
• ✅ Discrepancies are immediately visible
• ✅ Historical tracking of assertions

Developer Experience

• ✅ Clean API for programmatic reconciliation
• ✅ Well-documented scheduling options
• ✅ Flexible tolerance levels
• ✅ Comprehensive error reporting

File Changes

New Files Created

1. tasks.py - Background tasks for automated reconciliation
2. DAILY_RECONCILIATION.md - Setup and scheduling documentation
3. PHASE2_COMPLETE.md - This file

Modified Files

1. models.py - Added BalanceAssertion, CreateBalanceAssertion, AssertionStatus
2. migrations.py - Added m007_balance_assertions migration
3. crud.py - Added balance assertion CRUD operations
4. views_api.py - Added assertion, reconciliation, and task endpoints
5. templates/castle/index.html - Added assertions and reconciliation UI
6. static/js/index.js - Added assertion and reconciliation functionality
7. BEANCOUNT_PATTERNS.md - Updated roadmap to mark Phase 2 complete

API Endpoints Summary

Balance Assertions

• POST /api/v1/assertions - Create assertion
• GET /api/v1/assertions - List assertions
• GET /api/v1/assertions/{id} - Get assertion
• POST /api/v1/assertions/{id}/check - Re-check assertion
• DELETE /api/v1/assertions/{id} - Delete assertion

Reconciliation

• GET /api/v1/reconciliation/summary - Get reconciliation summary
• POST /api/v1/reconciliation/check-all - Check all assertions
• GET /api/v1/reconciliation/discrepancies - Get discrepancies

Automated Tasks

• POST /api/v1/tasks/daily-reconciliation - Run daily reconciliation check

Usage Examples

Create a Balance Assertion

curl -X POST http://localhost:5000/castle/api/v1/assertions \
  -H "X-Api-Key: ADMIN_KEY" \
  -H "Content-Type: application/json" \
  -d '{
    "account_id": "lightning",
    "expected_balance_sats": 268548,
    "tolerance_sats": 100
  }'

Get Reconciliation Summary

curl http://localhost:5000/castle/api/v1/reconciliation/summary \
  -H "X-Api-Key: ADMIN_KEY"

Run Full Reconciliation

curl -X POST http://localhost:5000/castle/api/v1/reconciliation/check-all \
  -H "X-Api-Key: ADMIN_KEY"

Schedule Daily Reconciliation (Cron)

# Add to crontab
0 2 * * * curl -X POST http://localhost:5000/castle/api/v1/tasks/daily-reconciliation -H "X-Api-Key: ADMIN_KEY"

Testing Checklist

• Create balance assertion (UI)
• Create balance assertion (API)
• Assertion passes when balance matches
• Assertion fails when balance doesn't match
• Tolerance levels work correctly
• Fiat balance assertions work
• Re-check assertion updates status
• Delete assertion removes it
• Reconciliation summary shows correct stats
• Check all assertions endpoint works
• Discrepancies endpoint returns correct data
• Dashboard displays summary correctly
• Discrepancy alert shows when issues exist
• "Check All" button triggers reconciliation
• Daily reconciliation task executes successfully
• Failed assertions are logged
• All endpoints require super user access

Next Steps

Phase 3: Core Logic Refactoring (Medium Priority)

• Create core/ module with pure accounting logic
• Implement CastleInventory for position tracking
• Move balance calculation to core/balance.py
• Add comprehensive validation in core/validation.py

Phase 4: Validation Plugins (Medium Priority)

• Create plugin system architecture
• Implement check_balanced plugin
• Implement check_receivables plugin
• Add plugin configuration UI

Phase 5: Advanced Features (Low Priority)

• Add tags and links to entries
• Implement query language
• Add lot tracking to inventory
• Support multi-currency in single entry

Conclusion

Phase 2 successfully implements Beancount's reconciliation philosophy in the Castle extension. With balance assertions, comprehensive reconciliation APIs, a visual dashboard, and automated daily checks, users can:

• Trust their data with automated verification
• Catch errors early through regular reconciliation
• Save time with automated daily checks
• Gain confidence in their accounting accuracy

The implementation follows Beancount's best practices while adapting to LNbits' architecture and use case. All reconciliation features are admin-only, ensuring proper access control for sensitive accounting operations.

Phase 2 Status: ✅ COMPLETE

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Generated: 2025-10-23 Next: Phase 3 - Core Logic Refactoring