Recording donations in the accounts

In the software, all modules are interconnected. In particular, this means that when you register a donation in Community > Donations, an accounting entry has been automatically edited. This article explains the different impacts a donation can have on your accounting.

If you import donations via an Excel file, the import will not automatically create the corresponding accounting entries. Each entry must be entered manually. 

I want to register a donation of $40, with a first payment of $30 in cash and a second payment of $10.

When a donation is recorded, one or more entries are output:

• The first has to do with giving.
• The following are linked to the various payments.

The commitment entry will impact the account Receivable Contact (donation) for a credit of $30. As there is always one person linked to a donation, it is therefore the bank check deposit account (user account) that is affected by the debit, of $30 in my example.

Until the payment is settled in full, donations will remain on my list of receivables.

An entry is created for each payment recorded. The account credited is the intermediate account and is credited with the amount paid. In my example, the account is therefore credited with $20.

The account debited depends on the payment method used:

• Cash payments: account 531 (cash)
• Payment impacting the bank (credit card, bank transfer, direct debit, etc.): account 512 (bank)
• Payment by cheque: account 511200 (cheques to be cashed)
• Online payment: account 517 (online account)

In my example, account 531 is therefore debited by $30.

Since the payment has not been made in full, the donation still appears in receivables, but the amount paid is still shown.

I will then record my second and final payment. The account credited is always the intermediate account and is credited with the amount paid. In my example, the account was credited with $10.

Since the sale has been paid for in full, it no longer appears under receivables.

You will find all your donations in account Revenue - Donations in your accounting documents:

General Ledger:

Profit and Loss:

And the General Balance: