Banquet contribution

[SBCTrustee]

Hello Everyone,

I had an odd problem experienced yesterday. I am not sure as to how to handle this problem.

Our church has an endollment scholarship program to a couple of local colleges. (The colleges manages the investments & selects the students, based upon our standards). Our church donates funds to sure-up the endollments thru fund raisers. We just gave a banquet fund raiser for this purpose. The checks come in made out to our church. We then send the proceeds less expenses to the colleges.

My question is how do we:

1) Record the funds distributed to the colleges? (We use restricted fund accounts).
2) How do we record the contribution received for the tickets? Remember that the cost of the meal is not tax deductable, thus the total cost needs to be separated somehow in PC+ V. 9. ( How would you explain this to members? In other words, less say that the tickets cost (donation) is $200 & the actual cost of the meal is $50).
3) In as much as the community at large could purchase (donation) tickets, how would you do tax receits. Both business & individual donate.

Tom[/list]

[NeilZ]

Hello Everyone,

I had an odd problem experienced yesterday. I am not sure as to how to handle this problem.

Our church has an endollment scholarship program to a couple of local colleges. (The colleges manages the investments & selects the students, based upon our standards). Our church donates funds to sure-up the endollments thru fund raisers. We just gave a banquet fund raiser for this purpose. The checks come in made out to our church. We then send the proceeds less expenses to the colleges.

My question is how do we:

1) Record the funds distributed to the colleges? (We use restricted fund accounts).
2) How do we record the contribution received for the tickets? Remember that the cost of the meal is not tax deductable, thus the total cost needs to be separated somehow in PC+ V. 9. ( How would you explain this to members? In other words, less say that the tickets cost (donation) is $200 & the actual cost of the meal is $50).
3) In as much as the community at large could purchase (donation) tickets, how would you do tax receits. Both business & individual donate.

Tom[/list]

What I would do:

1. Set up a 'pass through' account. (if you have a v9 manual, its on page 186)
2. I would only treat the $150 as deductable, and insure that the purchasers know that $50 covers the dinner. Many PBS stations do the same thing during their fund drives when they send a receipt.
3. On community bought tickets, eiither Insure that you get a name and address on every sale of a ticket, or issue a receipt to the purchaser, breaking down the amount that is contributed to the scholarship and the amount that pays for dinner. Then deposit using your 'loose cash' account.

Better yet ... issue a receipt upon purchase for EVERY ticket, with the breakdown of costs. Then you just make a deposit through the accounting module, rather than contributions. Breaking down the amounts there into operating to pay for the dinner, and the rest in to the pass thru account for the scholarship.

[jeffkoke]

My question is how do we:

1) Record the funds distributed to the colleges? (We use restricted fund accounts).
2) How do we record the contribution received for the tickets? Remember that the cost of the meal is not tax deductable, thus the total cost needs to be separated somehow in PC+ V. 9. ( How would you explain this to members? In other words, less say that the tickets cost (donation) is $200 & the actual cost of the meal is $50).
3) In as much as the community at large could purchase (donation) tickets, how would you do tax receits. Both business & individual donate.

Tom

Tom,

In answer to #2...
What we have done is create a non-contributional fund (that sometimes parallels a contributional fund) for an event.

So, if you have a banquet fund raiser you can split the "donaton" between both funds.

Our non-contributional fund numbers begin at 500 and go up. So, any fund number below 500 is a contributional fund (makes year end reporting much easier).

If requested, we can run a report for both contributional and non-contributional receipts.

For #3, I would create an entry for every donor. We have people who are not church members/attenders that donate towards world missions. I have a category set up just for them.

Make sense?

Jeff