Converting accts from our old system to PowerChurch

[oppfirstmethodist]

We are in the process of moving our accounts from our old system to Power Church. My problem is this old system was set up years ago, and there are many accounts that are listed as "equity-does not close" that should have been set up as pass through accounts or temp. restricted accounts. I am trying to start the Power Church accounting starting the month of May and want to use my year to date balances from the old accounts to start the new ones. How do I convert the equity accounts into the right class of pass through or restricted accounts?

[NeilZ]

We are in the process of moving our accounts from our old system to Power Church. My problem is this old system was set up years ago, and there are many accounts that are listed as "equity-does not close" that should have been set up as pass through accounts or temp. restricted accounts. I am trying to start the Power Church accounting starting the month of May and want to use my year to date balances from the old accounts to start the new ones. How do I convert the equity accounts into the right class of pass through or restricted accounts?

Pass through accounts are basically liabilities to the church, as they are funds that the church is obligated to pay out, but they are not income to the church. I'd create them as liability accounts.

Its actually much easier for you to either use the Powerchurch user manual, or do a search in the program's built-in help for "pass through'. There are some examples and a better explanation of the reasoning behind making these liabilities rather any any other type of account.

As far as temporarily restricted accounts, much depends on what the funds are being given for. Are they income to the church for the church's use? Is the restriction something that a donor or the church board imposes? Answers to that would allow you to make the determination on setting up some accounts as temporarily restricted.

Again, checking the printed manual, or searching the built-in help will give you a much better overview of the use and setup of these types of accounts.