Bank Statement Reconciliation again

[PamelaS]

I am having a difficult time trying to figure out what has happened. I posted a while ago about the reconciliations not being done on the software for several years. I finally got copies of the Nov. & Dec. statements from 2014 and used those as a base. I "reconciled" January 2015 statement, but it did not balance. I expected that because it had never been done in the system. So, I am now trying to reconcile Feb. 2015 but the problem I have is the deposits not being correctly allocated in PC. What I mean is that we have a "general fund" checking account where most of the funds go to and we have a "memorial fund" savings account where memorials are deposited. When I enter contributions, if they are just general, I post them to the general fund and they get deposited in the checking account. When I enter a memorial contribution, I post it to the memorial account and they get deposited in the savings account. Now that I am trying to reconcile, all of the deposits are showing up on the reconciliation screen under the 1110 account, which is the checking account. This is making my actual deposits to that account not match what the software is saying was deposited. I hope someone understands what I am trying to say here. I have no idea how to "fix" this issue. Maybe that is why the previous bookkeeper never used the software to do the reconciliation.

After doing a little digging, it looks like the "Memorial" fund in the Contributions module was set up to post to the 1110 bank account. At one time, years ago, this was correct. Apparently when the church decided to change the Memorial fund deposits to go to the savings account, nobody changed the designation in the software. So, even though the funds were physically deposited in the correct account, the software shows it going to the other account. I went into the Maintain List of Contribution Funds and changed the Memorial Fund to debit the savings account. I am hoping that is all I need to to in order to have it correct going forward. Now I just need to figure out what to do about the Feb. and March information that has already been posted.

After thinking about this some more, I am wondering if I can do this: go into the "View Posted Contributions" and Reverse the Memorial Fund contributions that were incorrectly posting to the checking acct. Then re-enter so they post to the correct one. If so, should I first go back to the correction I made in the "Maintain List of Contribution Funds" and put the wrong bank account info back in. I am thinking these would be the steps I would take:
1) Change the back account back to the wrong one in the "Maintain List of Contribution Funds".
2) Reverse the memorial fund contributions which will save it as an unposted contribution.
3) Post the unposted (reversed) contribution.
4) Change the bank account information in "Maintain List of Contribution Funds" to the correct one.
5) Re-post the reversed memorial contributions so they get directed to the correct bank account.

[NeilZ]

After doing a little digging, it looks like the "Memorial" fund in the Contributions module was set up to post to the 1110 bank account. At one time, years ago, this was correct. Apparently when the church decided to change the Memorial fund deposits to go to the savings account, nobody changed the designation in the software. So, even though the funds were physically deposited in the correct account, the software shows it going to the other account. I went into the Maintain List of Contribution Funds and changed the Memorial Fund to debit the savings account. I am hoping that is all I need to to in order to have it correct going forward. Now I just need to figure out what to do about the Feb. and March information that has already been posted.

Correct ... from now on the contributions module will create a transaction to properly debit the savings account.

After thinking about this some more, I am wondering if I can do this: go into the "View Posted Contributions" and Reverse the Memorial Fund contributions that were incorrectly posting to the checking acct. Then re-enter so they post to the correct one. If so, should I first go back to the correction I made in the "Maintain List of Contribution Funds" and put the wrong bank account info back in. I am thinking these would be the steps I would take:
1) Change the back account back to the wrong one in the "Maintain List of Contribution Funds".
2) Reverse the memorial fund contributions which will save it as an unposted contribution.
3) Post the unposted (reversed) contribution.
4) Change the bank account information in "Maintain List of Contribution Funds" to the correct one.
5) Re-post the reversed memorial contributions so they get directed to the correct bank account.

That looks correct, but do a backup of the system, follow your steps, if it doesn't come out the way you want it to, restore your backup. FWIW ... This is always the best way of doing things in case you're not sure of what the end result will be. Its saved my bacon a few times.

If there are a lot of Memorial Fund donations, I'd do all the reversals first, (keep track of envelope #, date and amount), then change to the correct account, and re-enter each donation.

Then reconcile the Savings Account to make sure that looks correct. Since it probably has a lot less going into it, it should be easy to reconcile.

[PamelaS]

It seems to have worked. The reverse entries created subtractions at the bottom part of the reconciliation screen. I also checked the Posted Transactions in Fund Accounting and see where the correct account is now debited. Thanks for your help!