utility security deposit

[F12Mahon]

I had to change the name of our church with the 'electric company. Since it was because we are a new church from the merger of two churches, we have to pay a deposit., I combined an electric bill (450.00) with a security deposit payment (165.00) to write one check. I'm going by memory so I don't have all the info but my entry in manual checks looked like this.

01-1110 checking cr 565.00
expense electricity db 450.00
equity security db 165.00
equity unrestricted net assets cr 165.00

It is not in balance. I can't figure out what I am missing. I should say I know it is off 165.00 in the db column but I an not sure where to account for it. If I did it all wrong let me know. We will have to make 2 more 165.00 security deposit payments.Would it be better to make them separate from the electric bill?

I used this thread to help me thus far. viewtopic.php?f=3&t=7354

Thanks

[JohnDMeyers]

The link you referenced had a note that I included about only directly manipulating the equity account when you are setting up beginning balances. There are some other rare reasons, but not as a matter of course.

I understand that you are trying to deal with security deposit differently than an expense. You are correct.

There are two options that I can think of. You could make it an asset, or you could make it a negative liability (meaning that someone owes the church money). Since most people (including me) don't like to incur negative numbers on our financial statements, I would make it a current asset, with the interpretation that it is an asset of the church, being held by others:
ASSETS
..CURRENT ASSETS
....OTHER CURRENT ASSETS
......Electric security deposit


01-1110 checking cr 565.00
expense electricity db 450.00
(asset) Electric security deposit db 165.00

[tborgal]

That transaction will still be out of balance since the Electric bill of $450 plus the deposit of $165 adds up to $615 not $565.

[JohnDMeyers]

Tom: Don't tell anyone, but I used to teach high school algebra.

[NeilZ]

LOL ... however, I think the original poster got the idea

[F12Mahon]

That transaction will still be out of balance since the Electric bill of $450 plus the deposit of $165 adds up to $615 not $565.

Ummm yeah sure I can add 2+3=4 And I have an AAS in mechanical engineering technology.

I did a backup and did as JohnDMeyers suggested but missed one thing. Balanced checkbook and did a balance sheet. Hmmm no security deposit. Looked at the transaction again and saw Urestricten net asset. Aww crap. (can I say that here?) Sigh restore from backup, maintain manual checks, locate select correct one, F2, security deposit, save, post, post, rereconcile, run balance sheet and there it is! Security deposit 165.00! Hallelujah, all is well with the world.

Thanks for your help folks.