Setting up a Restricted Fund...Part Deux

[Roy MacLean]

OK, I searched for setting up a restricted fund...and got confused. Went to the manual (v. 11.5) and got totally lost. Here is the situation:

We have an expense coming up this winter and we want to set up a Restricted Fund or account such that any monies that come in would be set aside into a restricted fund or account. When we get the bill(s) that need to be paid with this money, we want to pay them out of the restricted monies. No separate checking account is being established, and it will come into the church via the General Account. Note: the bill due total amount will be a fixed amount ($5200.00) and the amounts coming in to pay that bill will be at $25 - $50 per.

Help?

[JohnDMeyers]

You set up three new accounts in the Chart of Accounts for this "winter bill".
(use the restriction wizard to do this)

-------wizard -----

ADD
01-3210-000 winter bill equity <- mark it as Temporarily Restricted on detail tab
01-4210-101 winter bill income <-closes to 01-3210-000
01-4810-101 winter bill release <-closes to 01-3210-000

In Contributions ADD
Fund 201
DB 01-1110-000
CR 01-4210-000

ADD
01-5810-000 winter bill <-closes to 01-3110-000 (expense is not restricted)

---end wizard----

When money comes in, use Contribution Fund 201.

When $100 goes out:
CR 01-1110-000 checking $100
DB 01-5810-000 winter bill $100

Release restriction:
DB 01-4810-000 $100
CR 01-4999-000 $100

Note: The $5,200 amount for the expense has nothing to do with the restriction. Remember - you are only restricting money coming in to go toward this purpose. The money going out is not restricted. You "release" the income when money goes out toward the expense.