How to reset "other account" to zero?

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surf40
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Postby surf40 » Mon Mar 21, 2011 10:53 am

OK, one more question. The wards Financial Report shows they have $150 in Other. (I’m using round numbers) The clerks own accounting show $150, so they both agree. But MLS shows they have a negative balance of $300. (-300) So I looked at the referenced document on how to deal with a deficit, and it said the ward is to write a check from another budget category, and deposit to “other”.
So, if following the above, the ward would make a check out to themselves for $450 dollars, and then deposit it in the “other “ category. So then MLS would show other at $150. But wouldn’t real money be transferred? Wouldn’t the next financial report show there budget down $450, and the true value of their “other” account at $600 (the current 150 plus the 450 check)? Please help me understand this.

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aebrown
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Postby aebrown » Mon Mar 21, 2011 11:01 am

surf40 wrote:OK, one more question. The wards Financial Report shows they have $150 in Other. (I’m using round numbers) The clerks own accounting show $150, so they both agree. But MLS shows they have a negative balance of $300. (-300) So I looked at the referenced document on how to deal with a deficit, and it said the ward is to write a check from another budget category, and deposit to “other”.
So, if following the above, the ward would make a check out to themselves for $450 dollars, and then deposit it in the “other “ category. So then MLS would show other at $150. But wouldn’t real money be transferred? Wouldn’t the next financial report show there budget down $450, and the true value of their “other” account at $600 (the current 150 plus the 450 check)? Please help me understand this.


The first thing you have to determine is what the true correct balance is. You are correct that if you simply write a check from Budget, you will have spent real Budget dollars. So before you do that, make sure you understand the true situation.

The instructions you read refer to what to do if there is truly a shortage. That could happen if, for example, the Other account were used for a scout camp, and the funds collected from the scouts for that one annual camp were less than the total cost, yet all the checks were written from the Other account. That would create a deficit in a subcategory of Other. In such a case, it is entirely correct to write a check from Budget to cover the shortage.

But we know that accounting problems can occur between CHQ and a local MLS, and we have abundant examples of such errors because of the transition to CUBS. If the source of the problem is related to CUBS, then you need to sort that out, rather than using Budget funds to correct that balance.
Questions that can benefit the larger community should be asked in a public forum, not a private message.

surf40
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Postby surf40 » Mon Mar 21, 2011 1:15 pm

aebrown wrote:The first thing you have to determine is what the true correct balance is. You are correct that if you simply write a check from Budget, you will have spent real Budget dollars. So before you do that, make sure you understand the true situation.



This we know. They should have $150 in Other, and they do in fact (per the monthy report) have $150. But the MLS says they have -$300.
A difference of $450. So what I gatter is CUBS should have set these two numbers (MLS and Monthly report) the same. and if they are not, there is nothing the clerk on his own can do about it. Is this correct? The clerk needs to call SLC and ask for them to fix it? Who exactly should he call?

Thanks
Danny

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aebrown
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Postby aebrown » Mon Mar 21, 2011 2:53 pm

surf40 wrote:This we know. They should have $150 in Other, and they do in fact (per the monthy report) have $150. But the MLS says they have -$300.
A difference of $450. So what I gatter is CUBS should have set these two numbers (MLS and Monthly report) the same. and if they are not, there is nothing the clerk on his own can do about it. Is this correct? The clerk needs to call SLC and ask for them to fix it? Who exactly should he call?


If you are indeed looking at the same time period, and there are no other adjustments that have been made since the statement was issued, then you are correct -- the clerk can't fix it on his own.

So you need to call Local Unit Support.
Questions that can benefit the larger community should be asked in a public forum, not a private message.


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