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double entry - contributions
Posted: Thu Jun 22, 2023 9:54 am
by mtziontreasurer
I am treasurer for a small church. Many Sundays members write a check for multiple funds. When we enter contributions, they are entered for the correct but when we are ready to deposit the check, there isn't always the right check/cash to deposit into a special fund so all is deposited in Administration Fund. I then write a check or transfer money from Admin into the correct fund. Discovered recently that this shows up as a second deposit to the special fund.
Member wrote check for $300 but wanted $100 for Special Needs. This is entered in Contributions and posted. All $300 is deposited at bank in Admin. Treasurer creates a transaction in PowerChurch to remove $100 from Admin and credit Special Needs $100. Special Needs now shows $200 contribution. How do I correct but still have the member contribution posted?
Re: double entry - contributions
Posted: Thu Jun 22, 2023 10:34 am
by NeilZ
mtziontreasurer wrote: ↑Thu Jun 22, 2023 9:54 am
I am treasurer for a small church. Many Sundays members write a check for multiple funds. When we enter contributions, they are entered for the correct but when we are ready to deposit the check, there isn't always the right check/cash to deposit into a special fund so all is deposited in Administration Fund. I then write a check or transfer money from Admin into the correct fund. Discovered recently that this shows up as a second deposit to the special fund.
Member wrote check for $300 but wanted $100 for Special Needs. This is entered in Contributions and posted. All $300 is deposited at bank in Admin. Treasurer creates a transaction in PowerChurch to remove $100 from Admin and credit Special Needs $100. Special Needs now shows $200 contribution. How do I correct but still have the member contribution posted?
There's a few issues here. The first and main issue is that you're using multiple checking accounts. The Best way to handle this is to combine all the checking accounts into one, and allow the system to maintain the splits. This is easily done by creating the 'special funds' into Donor Restricted Accounts. The system then tracks them in their own Net Assets account, but all the funds are in one checking account, and there is no need to do the complicated switching between checking accounts.
That said, exactly how is this 'special needs' fund setup? Is it a separate accounting fund? How is the Contributions Fund setup, what are the income and bank account entries in Contributions?
Re: double entry - contributions
Posted: Thu Jun 22, 2023 4:34 pm
by Zorak
NeilZ wrote: ↑Thu Jun 22, 2023 10:34 am
How is the Contributions Fund setup, what are the income and bank account entries in Contributions?
That would be my guess. On the Maintain List of Contribution Funds screen, found under Contributions > Setup, it sounds like you have the Debit (bank) account field on that fund set to deposit into its own checking account, instead of depositing into the Admin checking account.
When you transfer the money in Accounting, it is moving that money into that checking account again. If all of the money in Contributions are being deposited into the Admin checking account, then all of those Contribution Funds should have that assigned in the Debit (bank) account field.