Cash Basis Report Options

Buddha Buck blaisepascal at gmail.com
Fri Jan 9 11:02:45 EST 2015


On Fri Jan 09 2015 at 10:32:39 AM Mike or Penny Novack <
stepbystepfarm at mtdata.com> wrote:

>
>
> >> Sure -- provided you don't use any of the invoicing features.
> >> If you invoice then by definition it's an accrual.
> >
> > Unless it is a pro-forma invoice in which case it isn't and you
> > shouldn't be using gnc to produce it, see previous discussions.
> >
> The problem with the previous opinion is:
> a) Unlikely to have other software capable of of producing these
> pro-forma invoices.
> b) Still going to have to do data entry to indicate which were paid if
> you had that software. And produce the reports your board will want to
> see (do you think the board isn't going to ask the treasurer "how many
> members haven't renewed yet and who are they?", What percentage of our
> expected dues have been received?", etc.)
> c) The membership  is going to expect unified statements, not separate
> invoices for real obligations, pledges, and pro-forma ones like
> memberships.
>

Even without getting into the issue of how to account for the various
contributions to a non-profit, the general point can be made that there are
several types of business forms and accounting procedures that GnuCash
doesn't necessarily directly handle.

For instance, it is not unheard of for an organization to have a procedure
for large purchases which generates and correlates the following five
documents : Requisition Request, Purchase Order, Invoice/Bill, Packing
Slip. Payment/check

Only two of those five documents are generated and handled by GnuCash
(Invoice/Bill and Check), If you want to track the others, you need to use
an external system.

The same goes for quotes, pro forma invoices, or any other business
document which GnuCash doesn't handle.

It is likely that the few of us who are using gnucash to keep the books
> for non-profits shouldn't involve the whole list as we argue how best to
> do things. Or if there are enough of us doing this perhaps a sub list,
> even if informal like something identifying in the subject line so
> others not interested in the issues for non-profits can filter those
> posts out.


It's also a case that one-size-does-not-fit-all, even within non-profit
accounting. You said you keep your non-profit books on a cash basis. My
understanding of New York State law is that I must keep my non-profit books
on an accrual basis. What works for you in a cash sense will not work for
me.


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