Budgeting

[Karen Musser]

Is there any way to carry over unused funds by chart of account number when starting a new year. For instance, Fund 01 would like to budget $200/year for projector bulbs. As these bulbs only get replaced about every 4 years @ $800, they'd like to budget some $$ each year so when it's time to replace them, the money is there. Can this carryover show up under the account where it was budgeted or is it just part of the total balance?

[wms7328]

One way I have done this is to set up another fund, for example, let's say fund 10. You would transfer the money each month or year to that fund where it would accumulate until it is spent. When you buy the materials, then just charge the expense to Fund 10. A fund balance report would show the current balance of that fund.

We used this to set up a Major Maintenance Fund. We transfer a set amount each month to this fund. Idea is to use this money when we have a major replacement bill, such as roof, A/C unit, etc. This allows you to essentially set up an internal savings account.