Accounts payable Release accounts

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cbrown
Posts: 94
Joined: Sun Dec 21, 2014 7:50 am

Accounts payable Release accounts

Post by cbrown »

When I write a manual check to a vendor and select the Release Accounts button the account does not show up in the list of release accounts. I triple checked the set up of the Fund Balance (3284-132), Income(4284-132) and Release(4884-132) and all appear correct. I also reindexed the files.The Release will not show up in the list. Any ideas? Thanks.

NeilZ
Posts: 10209
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Location: Dexter NM
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Re: Accounts payable Release accounts

Post by NeilZ »

cbrown wrote:When I write a manual check to a vendor and select the Release Accounts button the account does not show up in the list of release accounts. I triple checked the set up of the Fund Balance (3284-132), Income(4284-132) and Release(4884-132) and all appear correct. I also reindexed the files.The Release will not show up in the list. Any ideas? Thanks.
How did you setup the Restricted Income Accounts? Did you use the Maintain List of Donor Restrictions or did you manually add the accounts to the Chart of Accounts.

If you didn't use the Maintain List function, the system doesn't know about it.

What you can do is go into the Maintain List function, and ADD a new restriction. You can select the accounts you've already created to include in the Restriction.

Once you do that, when you click on the Release Restricted Funds you should then see the Restriction listed in the list. Once you select it and finish the process, the system will add the proper accounts to the transaction.
Neil Zampella

Using PC+ since 1999.

cbrown
Posts: 94
Joined: Sun Dec 21, 2014 7:50 am

Re: Accounts payable Release accounts

Post by cbrown »

Neil, that worked perfectly. I somehow missed that part of the manual. The problem I have now is that my Equity Account is showing $4400 less than I know I have in that account. When I was having problems I entered the $4400 check manually, several ways to try and find the solution. I entered the transaction manually and via creating a manual check. All those transactions were voided or reversed. Now the Release Account is showing a negative $4400 current balance and I believe it should be zero, correct? Not sure how to correct this. Have I given you enough info to suggest a path I can take? Once again, thanks for your help!

NeilZ
Posts: 10209
Joined: Wed Oct 08, 2003 1:20 am
Location: Dexter NM
Contact:

Re: Accounts payable Release accounts

Post by NeilZ »

cbrown wrote:Neil, that worked perfectly. I somehow missed that part of the manual. The problem I have now is that my Equity Account is showing $4400 less than I know I have in that account. When I was having problems I entered the $4400 check manually, several ways to try and find the solution. I entered the transaction manually and via creating a manual check. All those transactions were voided or reversed. Now the Release Account is showing a negative $4400 current balance and I believe it should be zero, correct? Not sure how to correct this. Have I given you enough info to suggest a path I can take? Once again, thanks for your help!
If you reversed all the transactions, then the accounts should be zero when you run a Cash Management Report. Not knowing what the original transaction looked like, I can't give you a firm answer.
Neil Zampella

Using PC+ since 1999.

cbrown
Posts: 94
Joined: Sun Dec 21, 2014 7:50 am

Re: Accounts payable Release accounts

Post by cbrown »

I ran a cash management report and only the Equity account appears on it, and it's short by the $4400 amount. When I try to set the Release and Income accounts to appear on the report the box is grayed out. I ran account activity reports on them and the Release account shows the negative $4400. I rechecked the transactions and the voids and can't find the issue. Obviously I'm missing something.

cbrown
Posts: 94
Joined: Sun Dec 21, 2014 7:50 am

Re: Accounts payable Release accounts

Post by cbrown »

I just looked at the activity report for the release account and the previous (voided/reversed) transactions balance to zero. The latest transaction, today, is showing the debit for $4400. The 4999 Released from restriction shows the $4400 credit and all the previous (voided/reversed) transactions balance to zero.

NeilZ
Posts: 10209
Joined: Wed Oct 08, 2003 1:20 am
Location: Dexter NM
Contact:

Re: Accounts payable Release accounts

Post by NeilZ »

cbrown wrote:I just looked at the activity report for the release account and the previous (voided/reversed) transactions balance to zero. The latest transaction, today, is showing the debit for $4400. The 4999 Released from restriction shows the $4400 credit and all the previous (voided/reversed) transactions balance to zero.
That is all correct .. the system is working as designed.
Neil Zampella

Using PC+ since 1999.

cbrown
Posts: 94
Joined: Sun Dec 21, 2014 7:50 am

Re: Accounts payable Release accounts

Post by cbrown »

ok, thanks. Since I know I am short $4400 I need to look for an incorrectly recorded transaction......thanks again.

NeilZ
Posts: 10209
Joined: Wed Oct 08, 2003 1:20 am
Location: Dexter NM
Contact:

Re: Accounts payable Release accounts

Post by NeilZ »

cbrown wrote:I ran a cash management report and only the Equity account appears on it, and it's short by the $4400 amount. When I try to set the Release and Income accounts to appear on the report the box is grayed out. I ran account activity reports on them and the Release account shows the negative $4400. I rechecked the transactions and the voids and can't find the issue. Obviously I'm missing something.
Well, this is correct, you used the $4400 ....
ok, thanks. Since I know I am short $4400 I need to look for an incorrectly recorded transaction......thanks again.
No you're not. You moved the funds from the restricted equity account by releasing them over to the unrestricted net equity. Run an Income and Expense report, you'll see the temp restricted release as a negative number, and the 'Released from restriction' as a positive number. They cancel each other out.

What happens is this:

1. You release funds of $4400. This reduces the Restricted Equity (Fund Balance) by the amount spent and released.
2 What happens in the background is that those funds are released to the unrestricted net assets/equity/fund balance, but are instantly used since you wrote the check for $4400.00 so you don't see any change here whatsoever.
3. In reality, the check for the 4400.00 comes from the funds tracked in the Restricted fund.

It balances out completely.
Neil Zampella

Using PC+ since 1999.

cbrown
Posts: 94
Joined: Sun Dec 21, 2014 7:50 am

Re: Accounts payable Release accounts

Post by cbrown »

Neil, I now understand the pluses and minuses of the release accounts, thanks to your help. However, I subtracted the $4400 check from the total amount of donations we have received for this capital campaign and I have a real balance of $10,319. When I run the balance sheet, it is only showing $5919. Somewhere I’ve got -$4400 hanging out where it doesn’t belong, and my mission is to find it. This all started when my assistant wrote the original $4400 check and charged it to the equity account directly, instead of using release accounts. I’ve since trained her, and have voided her entry And issued a new check using the release account. I’ll keep working at it and let you know the outcome. Thank you very much.

NeilZ
Posts: 10209
Joined: Wed Oct 08, 2003 1:20 am
Location: Dexter NM
Contact:

Re: Accounts payable Release accounts

Post by NeilZ »

cbrown wrote:Neil, I now understand the pluses and minuses of the release accounts, thanks to your help. However, I subtracted the $4400 check from the total amount of donations we have received for this capital campaign and I have a real balance of $10,319. When I run the balance sheet, it is only showing $5919. Somewhere I’ve got -$4400 hanging out where it doesn’t belong, and my mission is to find it. This all started when my assistant wrote the original $4400 check and charged it to the equity account directly, instead of using release accounts. I’ve since trained her, and have voided her entry And issued a new check using the release account. I’ll keep working at it and let you know the outcome. Thank you very much.
What I would do is see what the Restricted EQUITY account shows for the starting amount and ending amount for the month using the Setup -> Maintain Chart of Accounts

See what that shows.
Neil Zampella

Using PC+ since 1999.

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