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Old 03-23-2017, 05:26 AM
Rustler Rustler is offline
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Join Date: Feb 2008
Location: Texas - The Republic
Posts: 2,386
Quote:
Originally Posted by tvmangum View Post
Last year our PTA accepted donations for a scholar...... There is $360 left in the fund. What should we do with the rest of the money and how would I account for it in QB?

I know that it is technically a long-term liability but I just have it right now as an expense account ...
If I understand this, you accepted a donation
I assume it was deposited in a bank account
and you used an expense account as the source account for the deposit?

Would you explain how you entered the receipt of the donation to start with?

A donation is normally income, though in this unusual case I agree I would use a liability account, as the source account for the deposit.

Then when you pay it out, you use that liability account as the expense for the payment

If you are not going to pay it out, then it is income to you, journal entry debit liability and credit income
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