User Support Forum

Our needs are fairly simple, but I must be overcomplicating after reading the manual.

Simply have one bank account which is set up as checking in asset. Now within that bank account, we have several "accounts": General, General Missions, and several member's personal missions accounts (mission trip funding).

I am lost at how to set these up and get them to work correctly.

For instance, I purchase PowerChurch software. I want to bring down the checking, increase software expense account (but also bring down the "general" account)??? My question...how do I set up these "accounts" inside my checking account, and change all three of them????

Lost...

In dual-entry accounting (which is what Powerchurch uses), you always have to change two accounts with every transaction.

The checking account is an asset. When you increase it with income, the other entry is made in an income account.

When you decrease the checking asset for an expense, you make the second entry in an expense account.

To setup the initial balance in a checking account, you make the other entry in unrestricted net assets.

Your checking account needs an asset number:
01-1110-000

Your income needs an income number:
01-4010-000

Your expenses need expense numbers:
01-5010-000 General
01-5020-000 General Missions
01-5030-000 etc.

To record a general expense of $40.00
credit 01-1110-000 $40.00
debit 01-5010-000 $40.00

To record a missions expense of $25.00
credit 01-1110-000 $25.00
debit 01-5020-000 $25.00


To record an income of $500.00
debit 01-1110-000 $500.00
credit 01-4010-000 $500.00

When you set up the Accounting in File/Preferences/Accounting setup, you will need to select the default bank account number, then when you post the transaction, the offsetting entry will automatcally post to the checking account. To increase the checking, you will need to post a debit. So, to increase a mission fund, you would post a debit to the checking account (you would have an actual deposit to the checking account to show for this entry) and a credit to mission funds. This will increase both accounts.