We set up a charity and we created a new category named “charitable donation” to tag all incoming money form donors or from our fundraising site givey. hope that’s all clear and correct?
Now, I have to log payments made by a contributor on behalf of the charity, let’s say he paid with his personal card and the charity will reimburse the money later.
how can I do that?
your help greatly appreciated,
Generally with companies, you would create the purchase as normal within your QuickFile account and mark it as paid from a Director’s Loan Account. Then once the company pays the director back, the outgoing transaction in the current account would be tagged as a transfer to the loan account, and it should balance back up again.
That said, I’m not sure if the situation would differ with a charity. I would certainly run this past your accountant to be on the safe side (I’m not one).
The first part is right of "charitable donation"
2nd part where the contributor falls, one, who is the contributor a director, worker or outsider. so you need to clear that regardless of how he has paid in your case its personal so the point is that the payment has to made to that person.
Then depends what sort of service or what was acquired in terms of that payment.
Also you would need to know what the payment is for and then create a purchase accordingly or create a new line in the chart of accounts.
In short it would be treated as a purchase but it all depends what its for.
or maybe an asset