How do I account for Funded Projects

[Mule1]

I have three funded projects. The projects are funded to one Bank account. I want to have something like Ledgers for them in order for me to truck movement of funds as the projects advance. How do I go about that?

[acecombat2]

use tracking code,

https://www.manager.io/guides/8956

[Brucanna]

@Mule1

How do I go about that?

If the project funds are money held in trust, then they should be held in a BS liability account for each project or use Special accounts via a Project control account to have them collectively shown on the BS.

By held in trust means, that the money received for a project is not income of the organisation. E.G. you receive funds to build a community centre, they are held as a liability and any payments are allocated against that liability.

If part of the funds are for administering the project, then those funds would be income of the organisation.

[AJD]

This post in a previous thread about church accounting may be of some help.

Church accounting

Funds that are set aside for a particular purpose should be considered as claims against the assets of the organisation. As such they should be reported as either liabilities or equity. The generally accepted practice is to show them as equity in the form of “Reserves”, especially if there are any undisbursed amounts held for these funds at the end of a reporting period. As an example, a church may have a Building Fund, an Overseas Missions Fund, and a Local Missions fund. This will require…