User Support Forum

Our Church has started accepting donations via website, credit card, and debit card.

I can import the contributions but am unsure how to properly enter the charges made by Vanco for each transaction.
I tried searching the forums but cannot find any thing. What term do I need to use to find information on these types of transactions.

I am using v11.
Thanks.

Becky

Since my previous query didn't receive a response, let me ask it differently.

HOw do you record the fees charged on the online or credit card transactions your church receives?

Thanks

Becky

This is the system I use for recording the charges by VANCO. Under Accounts Payable, select "Maintain Manual Checks". On the check form that comes up I use "AutoPay" as the check number. That way I know that Vanco deducted this directly from our checking account. You would enter it same as any other expense, same as if you actually wrote a manual check. I set up an expense account for these charges so we could track the total. When you post accounts payable, then this would post like any other computer generated check. If you set up a separate expense account you can set which asset checking account is used and what expense account to use, then that will automatically come up in the accounting section below the check image on the entry screen.

Let me know if this not clear. I would also advise you to frequently check your email notifications from Vanco. Depending on how much people use this system you will get 3 emails and possibly 4 emails on each contribution along with the data files that allow you to import into PC. If you don't check frequently, you can end up with many emails and it's difficult to know that you have everything imported. We have around 40 people currently using the system and office staff checks the emails at least 3 times a week.

OK, I just reread your question and realized I probably didn't answer your question. Here is how we record the transaction fees charged by Vanco on credit cards that are shown on the deposit reports that you get from Vanco for contributions.

Debit 01-1100 Checking Account
Credit 01-4110 Income Account for contribution
Debit 01-6019 Expense account for credit card fees.

Since the debits have to equal credits, the amount shown as debit to your checking account will be the total contribution minus the credit card fee. This way the total contribution shows up as income and the credit card fee shows up as expense in income and expense statement.

Now if someone pays the credit card fee at time of contribution, that is an option that Vanco offers, then additional payment will show up also. Let me show you an actual transaction and explain each item for this case.

01-1120 Bank Account Debit 129.46 (Actual deposit to checking from VANCO)
01-4110 Contributions Credit 130.00 (Income shown for this account)
01-6019 Bank Fee Credit 3.58 (This is fee paid by person at time of contribution)
01-6010 Bank Fee Debit 4.12 (This is actual fee charged by Vanco)

So in this case the contributors credit card was charged 133.58 (Donation of 130 and 3.58 in fee). Your bank received 129.46. As you see the fee charged to credit card by Vanco if they selectred the option to pay the fee, does not actually cover all the fee. You have the transaction fee of 0.45 and the credit card percentage on the fee collected. You will always have some difference in the fee collected by Vanco and the actual charges. In my case I don't give the contributor credit for the credit card fee paid as a tax deductible contribution to the chruch. Was advised by accountant that this fee would be considered payment for use of their card and therefore not tax deductible, they just paid the fee that the church would have paid otherwise. Out of space so answer if you have additional questions.