User Support Forum

I have a fund setup for softball with accounts as temp. restricted and a zero balance. The registration fee was $300. We had a member willing to donate the money for this. However, we paid the fee and then he paid $100 per month for the next three months. Should I release $300 when we pay it, even though there isn't $300 in the fund? Anyone know how this should be handled?

Thanks in advance!

Technically the fee couldn't have been paid with restricted funds if the funds weren't there to begin with. They were really paid out of operating or some other funds. Practically speaking, recommend that you release the $300 when you pay it. This will cause the restricted fund balance account to have a negative balance (indicating that other funds were used to pay the fee) until all of the $100 donations are received.