Accounting Services

Gift Accounting

Gift Reconciliation

1. Purpose
   To instruct Business Office personnel how to reconcile gifts in the Development Office system to the Business Office general ledger.
2. Scope
   This procedure will cover the process of reconciling gifts to the general ledger.
3. Procedures
   The reconciliation of gifts may be done once the month has been closed.  The Director of Accounting will let you know when the month is closed.  The file used to pull the gifts on the Development side is in the IA shared files.  It is called Developmental Progress1.xls.  Open the file and chose ‘Enable Macro’ and ‘Disable Refresh’.  Use the tab called “Old Purpose Code Style”.  It is an active pivot table used to pull data. 
   
   On the pivot table you will first need to make sure the fiscal year is properly set.  On the Development side 08/09 is fiscal 2009.  Under the field ‘Month Name’ you may choose the months you need to see.  If this field is not on the pivot table you may need to pull over from the Pivot Table Fields List.  First choose all months included thus far in the fiscal year, then print.  Then choose only the current month you are working in, then print. 
   
   An adjustment has to be made for the gifts into the ADP Loyalty fund.  This is a restricted fund, but Development has it listed in the Annual Fund Unrestricted category.  To get a summary of these gifts drill through the Annual Fund Unrestricted category by right clicking on the total and choosing OLAP drill through.  Then sort by date and delete anything after the month end date you are working on.  Then sort by Fund Description, ADP should go to the top.  Delete all other funds.  Delete additional columns to the right that you do not need. Kepp only: Fund Description, Amount, Date, and Full Name. Then total the dollar amounts for the month. 
   
   *Unknown, shows up in various ledger accounts.  There are no purpose codes.  Drill down and then sort by account, then date, then dollar amount.  Delete extra columns to the right.  Keep only:  Fund Description, Amount, Date and Full Name.
   
   The general ledger activity may be printed by typing the command GL100 on the command line of the AS400.  Then enter the revenue account and date range (the month you are working on), then print.  A sample of revenue accounts is below.  New accounts may be added lately.
   
   

   1-1-4300-4345	3-3-4300-4324
   1-1-4300-4350	3-3-4300-4334
   1-1-4400-4401	3-3-4300-4346
   1-1-4400-4402	3-3-4300-4356
   1-1-4400-4405	3-3-4300-4366
   1-1-4400-4408	3-3-4300-4332
   2-2-4300-4341	3-3-4300-4333
   2-2-4300-4358	3-3-4300-4347
   2-2-4300-4368	3-3-4300-4355
   2-2-4400-4404	3-3-4300-4357
   2-2-4400-4406	3-3-4300-4365

   
   
4. Responsibilities
   The reconciliation of gifts is the responsibility of the Senior Accountant and the back up for this procedure is the Director of Accounting. 

Gift Posting for Cash and Credit Cards

1. Purpose
   To instruct Business Office personnel how to post gift receipts from the Development Office.
2. Scope
   This procedure will cover the process of receiving daily receipts files and transmittals and then matching them up with transactions that are pushed through to the Business Office.
3. Procedures
   On a daily basis the Assistant Director for Information Management and Gift Processing will email the Senior Accountant a spreadsheet summarizing that days cash receipts(Attachment #1).  There will be a separate file to summarize any credit card receipts for the day.  The summaries should be printed and kept to match up later for gift processing.
   
   The Assistant Director will then hand deliver daily transmittals (#2) to the Senior Accountant.  The daily transmittals show what was posted in the AS400 by the Development Office.  Once transmittals are received they can be matched to the cash and credit card summaries.  Once they are matched they need to be retained until the Assistant Director books through the gift transactions for the month, this is usually done twice a month. 
   
   Once transmittals have been booked through to the Business Office, edits may be printed by entering EDIT01 on the command line of the AS400 (#3).  Hit enter (#4).  Gift edits have a source code of GF.  To print an edit select the batch using a number 1 on the command line and then pressing F10 (#5).  Match the edit to the transmittal and the daily summaries.  If everything matches, then the batch may be posted to the general ledger.  To post the edit go back into EDIT01 and select F8, then 1 to select and F10 to accept (#6). 
   
   If the gift edit is in suspense mode, then changes may have to be made to the transactions by choosing #2 from the main menu for General Ledger Functions and #3 for Daily GL Activity and #1 for GL Transactions.  Hit enter and F11 to change, then 1 and enter to select the batch.  Once changes are made, for example to the date, then select F10 to accept. Return to the EDIT01 screen and follow the steps above to post.
   
   Once the batches have been posted then they may be filed.  The unposted edits are thrown away.  The transmittals are stapled to the posted edits, and then initialed and filed.  The daily summaries are filed separately to be used with the bank recon.  There is a separate folder for cash and credit cards.
4. Responsibilities
   The posting of cash and credit card gifts is the responsibility of the Senior Accountant and the back up for this procedure is the Director of Accounting. 

Gifts in Kind Posting

1. Purpose
   To instruct Business Office personnel how to post receipts for gifts-in-kind from the Development Office.
2. Scope
   This procedure will cover the process of posting gifts in kind to the general ledger.
3. Procedures
   The Assistant Director will hand deliver daily transmittals (#1) to the Senior Accountant.  The daily transmittals show what was posted in the AS400 by the Development Office.  The sub class for gift-in-kinds is usually a K.  The back up for gift-in-kinds can be obtained from the OnBase system by searching by name or dollar amount.  The back up is then printed (#2) and matched with the transmittal.  Every gift-in-kind is valued at one dollar unless an appraisal is obtained. 
   
   Gift transmittals are booked through to the Business Office by the Assistant Director in the Development Office.  This is usually done twice a month.  Once they are booked through an edit may be run by typing EDIT01 on the command line (#3) and hitting enter.  Gifts are set up with a source code of GF.  To print the edit select the batch with a 1 and then pressing F10 to accept (#4).    
   
   Since gift-in-kinds are non-cash gifts the account being debited must be changed to 1-1-4850-4859, not the cash account. The posting, transmittal, and detail are to be initialed, copied and filed with the other gift postings.    
   
   Use the copy of the above to update the Gift-in-Kind spreadsheet.  It is located in the shared file under the Senior Accountant’s folder; it is in the Audit Schedules folder.  The file is called Gift In Kind Detail (#6).  This schedule is turned in to the independent auditor’s at the end of the year.  Copies of the transmittal and backup are filed by date.  The file for the gift-in-kind detail is in the Senior Accountant’s Office.
    
4. Responsibilities
   The posting of gift-in-kind gifts is the responsibility of the Senior Accountant and the back up for this procedure is the Director of Accounting. 

Gifts Stocks Posting

1. Purpose
   To instruct Business Office personnel how to post stock gift receipts from the Development Office.
2. Scope
   This procedure will cover the process of receiving stock gift receipts and transmittals and then matching them up with transactions that are pushed through to the Business Office.
3. Procedures
   The Adm. & Operations Coordinator in the Development Office will email stock summaries to the Senior Accountant when a stock gift is received.  This summary will show you how the value of the gift is determined.   The stock values may be double checked by looking up the historical values on the Web site www.bigcharts.com.  The Assistant Director in the Development Office will hand deliver a transmittal to the Senior Accountant once the gift has been booked by the Development Office.  The gift class should be “S” for stock.  Double check that the transmittal total agrees to the stock summary. 
   
   Once the gift is booked through to the Business Office an edit will show up in the EDIT01 screen.  Print this edit and double check the amounts and accounts.  Usually when the stock gift is booked the account to be debited comes across as 1-1-1001-1003, the cash account.  This account needs to be changed to the stock investment account 1-1-1250-1040.  To make changes to the account follow the following commands from the main menu:  2-General Ledger Functions 3-Daily GL Activity 1-GL Transactions and press Enter and F11.  Select the batch to change with a 1 and then press enter.  Once changes are complete, press F10 to accept.  To post the batch go back to the EDIT01 command and press F8 to post, select the batch with a 1 and then press F10 to accept.
   
   Scott & Stringfellow is currently the broker used by Mary Baldwin College.  They will send a Record of Transaction whenever a stock gift is received.  This will tell you the amount of commission and the transaction fee.  It will also have the net amount of cash that is to be received.  The check will follow within a couple of days.  The check will be mailed directly to the Senior Accountant from the broker.  Make a copy to file with stock gifts.  The check is to be coded to 1-1-1250-1040 and sent to the cashier.  Once all of this information is obtained, then the stock spreadsheet needs to be updated.  It is in the shared drive under the Senior Accountant’s folder, in the Stock Gifts folder.  An example of a stock gift is attached to the procedure for reference.
4. Responsibilities
   The posting of stock gifts is the responsibility of the Senior Accountant, with the Director of Accounting serving as the back up.