I am trying to come up with a Grant expenditure return by using tracking codes to monitor and track my expenditure against grants received. I have therefore applied tracking codes to both receipts and expenditure, however, I can’t see my expenses with tracking codes. I can only see my receipts as revenue. Please help me know why I can not see my expenses with tracking codes in my P& L. I have no idea why what or where to look… help please
Can you please post a screenshot of the setup of the P&L?
When defining the Profit and Loss Statement, did you select tracking codes? See below for an example:
Thanks Tut, but I selected the trucking codes as you have illustrated. I don’t see where I have gone wrong at all. Could there be something else?
@Mule1, you need to furnish more information. Are you saying the P&L statement for a selected tracking code only shows income accounts, but not expense accounts? Or are you saying that the expense accounts show up as zero balance? Consider the following:
- Are your date ranges correct for the P&L statement, and does the time period include expenses?
- Is the report set to exclude zero balances?
- Did you properly record the payments?
It would help if you posted screen shots of:
- The P&L side of your chart of accounts from the Settings tab
- A transaction you marked as an expense of a specific tracking code that does not show up wherever you are expecting it.
- The P&L Statement for the tracking code you believe to be erroneous.
Can I suggest that you are using incorrect accounting if you are posting Grants to the P&L.
Generally, Grants are funds that are held in trust for a particular project, they are not income.
Grants received should be posted to a BS Liability account and any related expenditure would also be posted to that same liability account. Therefore, by reviewing that single liability account you can “track” the entire project.
If you have multiple Grants, then could setup a BS control account and use Special Accounts as Grant sub-accounts.
If you earn income, such as administration, within these Grants, then the value of that administration would be transferred from the liability account to the income account via a Journal Entry.
@Brucanna, thanks that makes alot of sense seeing its a grant and it cannot be treated as business income. So what you mean is that I receive it as a liability and every expense I make should be debited to this account., right?. However, there is no report to this effect in the report tab, meaning that I have to create my own using excel as I would have the data in this Liability account. Is that right?
No, under Reports > General Ledger Transactions you can select an individual account.
But noting that this report can’t be used for individual grants if you adopt the “setup a BS control account and use Special Accounts as Grant sub-accounts” as it doesn’t allow selection of sub-accounts…