Dear All, 

I am the treasurer for a religious organization and we have contributions 
coming in that are earmarked for a certain purpose.  I propose to enter these 
as separate Asset child accounts and then spend them in the corresponding 
expense account.  Do I have that right?

What do I do with ‘in-kind’ contributions?  No cash changes hands but it is the 
same difference, so do I debit the cash income account and credit the expense 
account?

Thanks for helping, everyone.

Anita

> 
> Exactly—the bank shows our actual lump asset, but we care about the movement 
> of these ‘earmarked’ funds and keep them in our reports, so we know at a 
> glance how much spendable money in the bank we actually have, as opposed to 
> what the bank statment gives as our balance.
> 
> Anita
> 
>> On 18 May 2017, at 5:49 PM, Maf. King <[email protected]> wrote:
>> 
>> On Thursday, 18 May 2017 15:39:59 BST you wrote:
>>> Maf, I forgot to mention an important thing:  I am not moving money from the
>>> bank, I am keeping it in the GC account tree along with cash, current,
>>> savings accounts, so one would only know about these funds that are set
>>> aside by looking at the GC accounts, not by looking at the bank statement. 
>>> It initially comes in as a contribution, and so I would put the
>>> contribution in the asset subaccount, as an earmarked account, and then
>>> spend that balance down to zero in the expense account.  Is that right?
>>> 
>> 
>> Yes.  your GC bank account can have sub-accounts - virtual "pots" of money 
>> that only show up if you look at GC.   The bank thinks you have 1 "big" 
>> account, you think in terms of several mini accounts within the main bank 
>> account that keep your reserved totals easy to find...
>> 
>> Maf.
>> 
> 
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