transaction date

[Mike or Penny Novack]

>
>The short version is that there is nothing incorrect about having the
>dates not match perfectly on both ends of a transaction. You record
>your transactions on the day you initiate them. Other parties involved
>in the transaction record them on the day they process them. These
>dates don't match and that's okay. 
>  
>
    That wasn't this situation. Of course the dates on your books need 
not match the dates on some other entity's books. But here the 
transaction was between two accounts in the same set of books. Note that 
for legal purposes the real date (when going between parties) may not be 
the date that either end has recorded. Unless a contract between the 
parties specifies otherwise, might be the date when "constructive 
delivery" occurred --- thus if that were critical, might be obtaining a 
mailing receipt from the post office (again -- the usual disclaimer.)

    The person asking the question didn't say WHY it was important that 
the book dates matched what the banks had. From personal experience, let 
me say that it can be*.

>If for some reason you need to keep specific track of the dates money
>moves into and out of accounts on both ends of the transaction, then
>do as Mike suggested and use an interim account ("Funds in
>Transit"). Note though that there will then be a disconnect in the
>transaction. THe money out of one account will not directly point to
>the other account in which it is deposited.
>  
>
    There is a "description field" available on both transaction (to and 
from "funds in transit") which can be used to for that purpose (when 
going into "transit", record ultimate destination and when leaving 
"transit" record where from).

Michael

* I am also "treasurer" of a second entity but in this case one that 
does not have it's own existence as a 510(c)3 independent from national. 
I have to submit quarterly reports plus the bank statements for our 
local group to the national treasurer. If the transit interval spanned 
the closing days of a quarter a discrepancy between books and bank 
statements would be glaring and depending on the personality of the 
national treasurer I might have a lot of explaining/exception report 
filing to do (the previous office holder in that post was most 
unreasonable).