Ringfenced funds

Support
1

Hi

I’m setting up QuickFile for a charity which needs to record funds ringfenced for specific purpose.

What’s the best way to do this, e.g. should we set up ‘bank accounts’ on QF?

Thanks
James

2

I have detailed the procedure below:

  • First set up each gift/grant provider or donor as a new supplier, this will also help to track the utilisation of the funds:

  • Now set up a new Quick File bank account for each gift/grant provider or donor:

  • When tagging the gift/grant/donation received into the business bank account, select ‘Bank transfer between accounts’, on the next screen select the bank account created in step 2 above as ‘Transfer from account’. This will allocate the gift/grant/donation to the ‘Ring Fenced / Restricted’ Bank Account to the Balance Sheet:

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UTILISATION OF RING FENCED / RESTRICTED FUNDS:

  • ‘Enter a New Purchase’ when utilising the ring fenced funds for the specific purpose, select the gift/grant/donor provider created in step 1 as the supplier, enter the name of the actual supplier in the ‘Description’, along with details of the item purchased:

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For a clear audit trial, we would also recommend uploading the purchase receipt onto Quick File:

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  • You will now be able to view how the grants/gifts have been allocated by ‘Viewing All Invoices’ for each supplier, this will show both the purchase invoices and also the total amount spent:

At the end of the year the credit balance on the holding account can be journaled to income.

1 Like
3

Amazing, thanks Joe.