Gift-Related Considerations

Gift-Related Considerations

Determining the Appropriate Revenue Account

1. In the General Ledger module, look up the natural account number for the Interfund Gifts account on the Master Chart. Refer to the Master Chart Report for more information.
2. Enter the Interfund Gifts account number in the Gift Interfund Credit field of the Fund Class record for the recipient Fund. Refer to File Maintenance – Funds for more information.
3. When you create the Gift, select the Interfund Gift checkbox on the Gift tab. When the Gift is posted, the credit account in General Ledger will be the account indicated in the Fund Class record of the recipient Fund.

Determining the Donor

When you create an Interfund Gift, you must also enter a Donor ID Code. However, in the case of an interfund Gift, the Donor is a Fund. There are two ways to handle this.

NOTE: Regardless of the option you use, the Grantee Fund will be identified as the recipient Fund in the Fund ID field on the Gift tab.

Option 1: Create a Profile and Donor record for each Fund that makes interfund grants (is a Donor for interfund Gifts). You should give these records names that help you to identify them as Donor Funds on all Gift reports (for example, Jones Fund – Interfund).
Do not put an address on the Profile record (to help distinguish it from normal Profile records). On the Donor record, set the Donor Type code to Interfund. This is the best choice if you want to clearly identify the Donor Fund on Gift reports.

Option 2: Create a single “dummy” Profile and Donor record called Interfund Gifts and use this same Donor record for all interfund Gifts, regardless of the giving Fund. You could then use the Comment field to identify the specific Fund for each Gift.

NOTE: If you use this method, the grantee Fund will be identified as the recipient Fund in the distribution line. Gift History reports by Donor will combine all interfund Gifts instead of separating them based on the giving Fund.

The same issue exists on the grant side. In this case, create a single “dummy” Profile and Grantee record called Interfund Grants. In the Grant record, the Donor Fund will be identified as the grant source in the line item, but the recipient Fund would have to be indicated in the Program Name.

TIP: If you enter the Fund ID of the donor Fund in the first six characters of the Comment field on the Gift tab, then Transfer from <Fund Name> will be printed in the Donor Name field of the Fund Statement Gift Detail.