Accounting for Christian School

[GoingStrong]

Is anyone currently using PowerChurch to handle the accounting for a Christian school? If so, are you using a fund to handle church accounting and a separate fund to handle school accounting? I have noticed in testing the invoice and payment process, the bank account in the church fund is debited and the income account in the school account is credited. The net asset accounts don't seem to be thrown out of balance so it appears this cross fund transaction is OK. Any insights you can provide would be appreciated.

[Matt]

I would recommend that you set up separate accounting funds for the church and school, since the school is a distinct operation that needs it's own Income and Expense Statement and Balance Sheet. The cross fund transaction you refer to sounds like it probably created an out of balance condition between the church accounting fund and the school accounting fund. To verify, run the Trial Balance report in Fund Accounting for both of these funds. The fund totals in all 3 columns should be zeros for both funds. If they are not this means you have an out of balance.