User Support Forum

Our scholarship fund is set up as recommended by this forum (see below - works great)

Now I have received a check from the fund for a $500 award to a student. I need to write a check to the college. What is the JE for the check from the fund to the church and the JE for the check from the church to the college?

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Re: Re-valuing a stock investment account
by JohnDMeyers » Sun Oct 11, 2009 2:39 pm
Here's how we do it:

If the investment is in 01-1310-000, then ADD
01-1312-000 Unrealized Gain (loss) - (detail asset, level 5)
01-4950-000 Unrealized Gain (loss) - (detail income, level 4, closes to 3110 unrestricted)

Change 01-1310-000 to a level 5, detail, asset
ADD
01-1308-000 Stock Porfolio (GROUP,asset, level 4)


Assume a balance of $12,000 in 01-1310-000 and a market adjustment of $780.00 for a given month:
DB 01-1312-000 $780.00
CR 01-4950-000 $780.00

If the amount is a loss, simply reverse the DB and CR on the above accounts.

When you run your balance sheet, you will see the Grouping of the asset plus the adjustment in a sub-total amount.

Notice that it is always with respect to the $12,000 starting balance. In other words, if you adjust the GROUP amount to $12,780.00 and the next month, the portfolio is $12,580, you would make that month's entry $580.00, not -$200.00.

I'm glad the setup worked for you.

We have our investment in a different fund from our general checking account, so I've been using a transfer account to get the money from the investment fund to the checking account, and that has been working out well on our end-of-year statements:

---------------
If the investment account is in a separate fund (like fund 03):
To transfer the money to checking:
CR 03-1310-000 investment $500
DB 03-9130-000 investment transfer $500

To receive the money into checking:
DB 01-1110-000 checking $500
CR 01-9130-000 investment transfer $500
-----------------

If the investment fund and the checking account are both in fund 01:
CR 01-1310-000 investment $500
DB 01-1110-000 checking $500

------------------

To write the check:
CR 01-1110-000 checking $500
DB 01-5180-000 scholarship expense $500

The scholarship is tracked as an asset in PC. I think it is a separate fund from the GF since I need to receive a check from the investment company in order to send a check from GF to college. would a pass thru liability account work for this transaction?

No. A pass-through is new money coming in. You are simply transferring existing money from one account to another.

If your asset account number begins with a two-digit number other than 01, then it is in a different fund. If it begins with 01, then it is in your general fund.

Which fund you have it in does not depend on where the bank is. It depends on however you set it up in PowerChurch.

Either way, I have the two scenarios outlined above.

Thanks John for setting me straight on this and for clarifying fund. Yes, mine is all in 01.