Maintaining Checking Within the Pool

Maintaining Checking Within the Pool

If the checking account is in the investment pool, there are no General Ledger issues concerning the movement of cash into and out of the pool. Gifts are generally deposited directly into the checking account (debiting the pooled asset account in General Ledger), and Grant checks are cut from the same account (crediting the pooled asset account in General Ledger). This is a simple method as far as FIMS General Ledger is concerned. It does not require routine tracking of asset transfers, and the checkbook is reconciled as a custodial bank account within the pool, without using the Account Reconciliation system in Accounts Payable.

Refer to the FACTS module for more information about Pools.

NOTE: One possible disadvantage to this approach is that all Grant making Funds must be in the pool in order to use the checking account.