TItle Page
hontreasurer.com
  (incorporating honsecretary.com)

The Integrated Membership & Bookkeeping system for Charities, Clubs & Societies
  © 2006, 2007 hontreasurer.com
Search this site  |  Site map

Click for Larger Text
Click for Smaller Text






How do I do Contra entries?


How do I? Index Main Contents:

Welcome
Introducing hontreasurer.com
Online Manual
How Do I?
HELP! I'm Stuck!
TUTORIAL
The Forum
TO DO List

How Do I? Contents:

  • Choose Activity Names
  • Print Labels or Form Letters
  • I can't edit a Transaction Field
  • Import existing records
  • Does the order of letters in Label Fields matter?
  • Print Labels or email People who have paid for an Activity?
  • Produce Management Accounts on a Spreadsheet with numbers from hontreasurer.com?
  • Post Contra Entries?
  • Set up and email only user?

  • Submit Your Comments/Ideas




    A contra entry happens in two types of case: a) someone pays you money which is really due to someone else, or b) you want to "net off" a payment to someone against what they owe you, but they are under different headings. There is no transaction at present which allows you to do this. So the proposed solution is a bit of a work around.

    In the case of a) where you are collecting money on behalf of someone else,a third party charity, for example, the money is typically going through the bank. So the cheques in and out must be in the system (otherwise you will not be able to reconcile the bank statement). As long as you make sure that the receipts and payments are on the same Activity, all will be well because there will be no profit on that Activity after the last payment has been made. Indeed this is a good check that you have paid out all the money you have received on behalf of the third party.

    In the case of "netting off" there are two sub-cases:

    1. Suppose you have sent an invoice to someone for £300 and, before they have paid, you receive an invoice for £300 from them for something unrelated. You want to show the £300 income and expenditure under the appropriate headings but obviously no cash changes hands. Create an account called "Contra". You can post "Cash" to this account if you set "Post to any Account" preference for your user. So post Cash Received for the £300 against the invoice for the income and Cash Paid for £300 to the invoice for the expenditure. Ensure that the Contra account has no balance after you have finished. This "cash" posting will be replaced with a special "contra" posting at later date but we can use the cash postings for now because they have no other implications.

    2. Suppose someone says "I owe you  £5 for session x, but I paid for the coffee which is the same amount". You would like to show £5 receipt for the session activity and £5 expenditure on coffer. Just enter £5 cash received under Session x and £5 paid under Coffee.