Fund balance setup

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neac
Posts: 68
Joined: Mon Jan 28, 2019 8:26 am

Fund balance setup

Post by neac »

So, I don't know if fund balances can work like this, but is it possible to set up one "master" fund balance, with a bunch of sub-fund balances?
Basically I'm trying to find a solution to some issues with restricted funds, hopefully my explanation makes sense.

We have restricted funds in Fund 02. We have a bunch of different restricted funds: building, missions, short-term missions, other designated funds (currently 4 different ones).

The problem is that the transfer account only closes to one account, currently "Missions". What I would like to do is have one main "restricted fund balance" and have all the different fund balances be sub-accounts under it, so then any money that is transferred into restricted funds, goes through the main, then flows into one of the sub-accounts (although I don't know how to write such a transaction) Alternatively, I thought maybe I could setup multiple transfer accounts within Fund 02, each closing to its respective fund balance?

Another issue with running all these different restricted funds inside one Fund 02 is the GST rebate. It is theoretically possible for all of these different restricted funds to incur GST expenses, so when a rebate is received, someone would have to find all the transactions within Fund 02 which incurred GST so that the rebate can be properly applied to the appropriate fund balance.

NeilZ
Posts: 10209
Joined: Wed Oct 08, 2003 1:20 am
Location: Dexter NM
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Re: Fund balance setup

Post by NeilZ »

neac wrote:
Tue Apr 20, 2021 1:12 am
So, I don't know if fund balances can work like this, but is it possible to set up one "master" fund balance, with a bunch of sub-fund balances?
Basically I'm trying to find a solution to some issues with restricted funds, hopefully my explanation makes sense.

We have restricted funds in Fund 02. We have a bunch of different restricted funds: building, missions, short-term missions, other designated funds (currently 4 different ones).

The problem is that the transfer account only closes to one account, currently "Missions". What I would like to do is have one main "restricted fund balance" and have all the different fund balances be sub-accounts under it, so then any money that is transferred into restricted funds, goes through the main, then flows into one of the sub-accounts (although I don't know how to write such a transaction) Alternatively, I thought maybe I could setup multiple transfer accounts within Fund 02, each closing to its respective fund balance?

Another issue with running all these different restricted funds inside one Fund 02 is the GST rebate. It is theoretically possible for all of these different restricted funds to incur GST expenses, so when a rebate is received, someone would have to find all the transactions within Fund 02 which incurred GST so that the rebate can be properly applied to the appropriate fund balance.
FWIW ... you setup the transfer accounts incorrectly. What you should do is set the transfer accounts to close to the unrestricted fund balance in each fund. SO if you're using fund 01 to transfer funds OUT, the funds OUT transfer in fund 01 should close to the (default number here) 01-3110-000 unrestricted net assets account.

Same for funds in, you close to the 02-3110-000 account. I'm assuming that it all goes into the same checking account, so when you're moving the funds from 01 to 02, you're using the checking account as the FROM and TO. Then when the funds are transferred, you create the transaction to move from the unrestricted net assets to the temp restricted net asset (fund balance) account for that area.

As far as GST, unfortunately, that's the way its going to be as the system has no idea how to divy up any rebate.
Neil Zampella

Using PC+ since 1999.

neac
Posts: 68
Joined: Mon Jan 28, 2019 8:26 am

Re: Fund balance setup

Post by neac »

Ok thanks. The Funds weren't originally setup properly as there was no 02-3110 account in Fund 02, which is why I just picked an available account for the transfer account to close to.

In terms of the unrestricted fund balance in Fund 02. Would all income and expense accounts within Fund 02 close to it as well, or would they still close to their respective fund balances?

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

Re: Fund balance setup

Post by NeilZ »

neac wrote:
Tue Apr 20, 2021 9:59 pm
Ok thanks. The Funds weren't originally setup properly as there was no 02-3110 account in Fund 02, which is why I just picked an available account for the transfer account to close to.

In terms of the unrestricted fund balance in Fund 02. Would all income and expense accounts within Fund 02 close to it as well, or would they still close to their respective fund balances?
If fund 02 is only used for a single thing (IE: Building), and there's no need for temp restricted accounts, then yes. If there are restricted accounts used, they will have their own net assets/fund balance accounts.
Neil Zampella

Using PC+ since 1999.

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