Reports, (the heart of darkness)

[Mike or Penny Novack]

On 12/8/2016 8:31 AM, John Whitmore wrote:
> On Wed, Dec 07, 2016 at 05:09:19PM -0500, Aaron Laws wrote:

> This thred has thrown up two methods of doing Cash based accounting. 
> Aaron's method is outlined above, and I'm not quite sure I fully 
> understand it, and the other method was NOT to use GnuCash for 
> invoicing but to use an external spread sheet or something. Then you 
> just record the payments in GnuCash. I wonder could you expand on the 
> above method:

There are other possibilities.

For example, once you have accepted the idea of perhaps having to enter 
data into two places, you wouldn't have to use a spread sheet based 
system for the invoicing. You could use gnucash. You could have a 
separate set of books to handle invoicing. That's where you would track 
what invoices not paid, keep your customer information, etc. If one of 
my organization wanted "member statements" (none do at the moment; 
National handles this for the one organization that has "membership") 
then that is what I would probably do.

The "adjustment" method may not be all that difficult either. That way, 
your books are accrual basis from gnucash's point of view (so you can 
use all the business features) but logically on the cash basis at the 
end of each reporting period (any balance in A/R requires and adjustment 
downward of income and any balance in A/P and adjustment downward in 
expenses. And then of course reverse that for the start of the next 
period. Simple if you don't have to categorize expenses in a complex way 
(as non-profits do; we don't PAY taxes, but we still may have to report) 
since then you don;t have to figure out the adjustment for each category.

Michael  D Novack