recording expenses against secondary fund

[debbieg]

Our church recently began a ministry at a different physical location. The offering money that is collected from that location will be deposited in the same checking account as offerings from our main church. But the pastor did want to be able to separately identify how much money was collected from the new site as well as expenses incurred for the new ministry. I thought it might be best to set up Fund 02 to track this. I copied Fund 01 to 02 and deleted a lot of the expense categories.
When I set up the contribution fund, do I associate it with the 02-1110 checking account? And also, when I record expenses, even though they are all paid from the same checking account, do I reference the 02-1110 again? How does this play out when you reconcile your bank accounts? Does it pull from both funds at the same time for reconciling?
I want to make sure i have this set up correctly before proceeding on.
thanks,
Debbie

[debbieg]

I just remembered that there were start-up expenses against this fund in July. I entered the expense with the 02 fund number but it came out of 01 fund checking. I have already posted July. I ran a couple of reports and they seem to show the expense OK. We won't have income until August.

[NeilZ]

Debbie,

yes, even though the same checking account is used for both funds, you should use the 02-1110 account for the bank (debits) account, and an 02 income (credits) account

When you write checks for the second location expenses, you should then use the 02 fund expense accounts as the debit account, and the 02-1110 as the credit account.

Hope this helps.