budgeting for savings

[Sandy]

We are budgeting a certain percent of our tithes for future large repairs for our building systems. It is an automatic amount that comes out each offering. My problem is how to make the income and expenses equal out since we are not spending this money but are placing it in savings until we need it. Could someone please help me figure out how to make this work in our budget and reporting.

Thanks in advance!

[NeilZ]

We are budgeting a certain percent of our tithes for future large repairs for our building systems. It is an automatic amount that comes out each offering. My problem is how to make the income and expenses equal out since we are not spending this money but are placing it in savings until we need it. Could someone please help me figure out how to make this work in our budget and reporting.

Thanks in advance!

Why should income and expenses 'equal out'. It never happens that way. you either have an excess of income, or you may be overspent for the month.

Is the savings account setup under your operations budget? If so, the income should be showing up under the operations Income and Expense report. Since you're not spending it, it will show as an overage.

If you don't want this savings to show up in the operations Income & Expenses, you may want to create a new Accounting Fund to track these funds. FWIW .. you don't have to put the funds in a separate savings account, you can leave them in the same checking account you use for operations, just make sure the checking account is also added in the new fund. The system will keep the accounting of the funds separate.

That said, if you could explain why you think you need to have the Inc/Exp 'equal out' it would help.

[Sandy]

I think the true question is more about how to handle this account. I show this account on the Cash Management Report each month and it also shows in the Savings account which is also on the cash management report.

I am transferring the tithe each month to savings but it can be a bit confusing. I would like to use one account to show the tithe, then release it to another account when I transfer to savings so that I get a true amount to transfer each month. As it is now I have to manually calculate the amount each month because the account continues to grow. I just would like an easier way to deal with this. (The church voted to keep this fund in the savings account.)

It is also a donation fund where members can donate above and beyond the tithe. That amount still needs to be transferred to savings. I try to do the transfers at the end of each month.

[NeilZ]

I think the true question is more about how to handle this account. I show this account on the Cash Management Report each month and it also shows in the Savings account which is also on the cash management report.

I am transferring the tithe each month to savings but it can be a bit confusing. I would like to use one account to show the tithe, then release it to another account when I transfer to savings so that I get a true amount to transfer each month. As it is now I have to manually calculate the amount each month because the account continues to grow. I just would like an easier way to deal with this. (The church voted to keep this fund in the savings account.)

It is also a donation fund where members can donate above and beyond the tithe. That amount still needs to be transferred to savings. I try to do the transfers at the end of each month.

OK .. there are a bunch of questions:

1. Where are the contributions going right now? Income account?? Temp Restricted Income account??
2. Is the amount a constant amount, or is it something like: 10% of all the normal tithes & offerings is going to savings ??

Have you considered an automatic transfer from Contributions?

You would create a Contribution Fund that points to an Income account (which is required) and the funds would be deposited in the Savings Account. This would also account for the extra contributions that people may donate as its a separate Contribution Fund. This would give you a total amount in the Contributions Fund Report that you can use to do the transfer.

[Sandy]

Contributions are going to a general offering (4030) and when posted go to a temporarily restricted income acct. (4212)
The tithe part is 1% of regular offerings.
Donations go directly to the restricted acct.
Both income accts debit the checking acct.

I'm not sure how to set up to automatically post to savings.

Any help is appreciated. Thanks in advance.