Help with restricted accounts

[cabc]

I'm new to pc+ using 10.4 and I'm having problem releasing funds. The problem is that when I release the funds it shows that the total is more than the check by the amount of the restricted fund. Is this o.k.?

[Zorak]

If you are talking about the fields that add up the total debits and credits for the transaction, then yes, it is correct, because there is an extra debit and credit added to the transaction for the release.

[cabc]

Thanks, that is what I thought. We have been trying to re do the books from Jan. When we make an entry for a restricted account we do not know which account number to use, ie income, asset, equity, account to take the money out of before we hit the release of funds button. Robert

[Zorak]

The initial part of the transaction is just like any other check, you credit the bank and debit expense. This creates a balanced transaction, but there is one more step, you click the "Release Restricted Funds" button, choose the restriction to release from, and then enter the amount to release. PowerChurch Plus will do the rest.

As stated previously, you can expect a warning that the debit and credit amounts are out of balance with the check amount, which is correct in this situation.

[cabc]

Thanks for your help. So, when I record a transaction from a restricted account I do the following: 1. credit the bank account, 2. debit the restricted account EXPENSE #, 3. hit the release from restricted accounts button? Is that correct? (I wasn't sure that restricted accounts have "expense" #'s.)
I had considered just listing the restricted (designated) accounts all as pass through accounts it seems easier to do.

[Jeff]

Depending on what the restricted amounts are being used for, you might or might not have expense account. For example, if you have received money for a extra principle payment on the mortgage, you would credit your mortgage liability account not an expense.

The idea is you enter the transaction just as if you are using unrestricted money and then add the release entry to the transaction.

[cabc]

In my chart of accounts I do not have an expense entry for benevolence or any other restricted account. When I enter the amount in the contributions side which benevolence account do I put the funds in? (I know I put it in the bank account then a restricted account I just do not know which one to choose, assets, liability, etc.) and then in the accounting side when I pay it out which benevolence account (#) do I use there? The book says that I can post it to an asset, liability etc. #. I know when I get it straight in my head I'll be O.K.

[cabc]

Should I have added an income account for each of my restricted accounts and worked from that one both in the contributions side and the accounting side?