Transfer Money from General Tithe to Restricted Income

[mbanas]

I want to move $826.00 from our general fund into a temporarily restricted fund (Special Projects Fund).

01-3230-101 = Special Projects Fund (Net Assets)

01-4230-101 = Special Projects Fund (Income)
01-4830-101 = Special Projects Fund (Income)

01-6410-000 = Special Projects Fund (Expense)

I think I have one Special Projects Fund (Income) too many in my chart of accounts?

I am not sure if I need only two transaction lines or four.

I am thinking I would just do this:
01-4230-101 $826.00 Debit
01-4030-000 $826.00 Credit

In this way, I was thinking it would increase our Net Assets (Temporarily Restricted) on our Balance Sheet.

Can anyone help me understand if this is correct?

Susan

[JohnDMeyers]

You have the correct number of accounts created. Make sure they all close correctly:
4030-101 closes to 3110-000 (or whatever your unrestricted equity account is)
4230-101 closes to 3230-101
4830-101 closes to 3230-101 (I would call this "Special Fund Release")
4999-000 closes to 3110-000 (this is the "general release" income account)
6140-000 closes to 3110-000

I am thinking I would just do this:
01-4230-101 $826.00 Debit
01-4030-000 $826.00 Credit

The above would be incorrect if you want to move income from 4030 (unrestricted) to 4230 (temp restricted).

It should be this way:
01-4230-101 $826.00 Credit
01-4030-000 $826.00 Debit

Your equity accounts will automatically update once you post the above transaction.

To remove the restriction, do this:
01-4830-101 $826.00 Debit
01-4999-000 $826.00 Credit

[mbanas]

Thank-you, John. I checked all my "closes to" detail and they were all correct. I made the entry as you directed and it worked! I will print this response and put it with my other "wisdom from John" files!
Susan

[JohnDMeyers]

Yea! It's good to know I get 'em right, once-in-a-while!