ANANDA MARGA UNIVERSAL RELIEF TEAM, USA

QUICKBOOKS PREMIER NONPROFIT 2009CUSTOMISED USER MANUAL

October, 2010

Table of ContentsINTRODUCTION.....................................................................................................................................................3

CHAPTER ONE: QUICKBOOKS SETUP AND OPERATIONS........................................................................................3

1.1 Installing Quickbooks...................................................................................................................................3

1.2 Starting and Operating Quickbooks.............................................................................................................4

1.3 Configuring multi –user mode.....................................................................................................................5

1.4 Setting up the Multi‐User Environment....................................................................................................5

1.6 Setting up Quickbooks.................................................................................................................................6

CHAPTER TWO: DATA ENTRY IN QUICKBOOKS....................................................................................................13

2.1 General Journal Entry................................................................................................................................13

2.2 Write checks..............................................................................................................................................14

2.3 Transferring Money from One Account to Another Using Transfer Funds.................................................15

2.4 Enter Bills...................................................................................................................................................16

2.5 Pay Bills......................................................................................................................................................16

2.6 Correcting and or Deleting Transactions during Data Entry.......................................................................17

2.7 Bank Reconciliation....................................................................................................................................17

CHAPTER THREE: ACCOUNTS TREATMENT OF COMMON AMURT TRANSACTIONS.............................................19

3.01 Grants received from USAID....................................................................................................................19

3.02 PayPal Income & Expenditure..................................................................................................................19

3.03 Online Credit Card Donation Income.......................................................................................................19

3.04 Other Expenses........................................................................................................................................19

3.06 Bills not paid immediately........................................................................................................................20

3.07 Payment on Bills......................................................................................................................................20

3.08 Creating invoices......................................................................................................................................21

3.09 Receiving payment on invoices................................................................................................................21

When payment is received on the invoices to customers who have received a service from AMURT, this transaction should be recorded under the Receive Payments window to reduce or clear the outstanding balance............................................................................................................................................................21

3.10 Recording Cost Share Income and Expenditure.......................................................................................21

3.11 Advances Given to Staff for Program Activities........................................................................................21

3.12 Accounting for Cash Advances to Staff for Program Activities.................................................................22

CHAPTER FOUR: COMMON AMURT REPORTS.....................................................................................................23

4.1 Account Quick Reports...............................................................................................................................23

4.2 Trial balance...............................................................................................................................................23

4.3 Income and Expenditure by Field Offices...................................................................................................23

4.4 Budget Overview........................................................................................................................................24

4.5 AMURT Budget Vs Actual Report...............................................................................................................25

4.6 Customizing the Look of a Report..............................................................................................................25

CHAPTER FIVE: GENERAL QUICKBOOKS INFORMATION AND ADMINISTRATION................................................27

5.1 Setting Users’ Passwords...........................................................................................................................27

5.2 Backing up data..........................................................................................................................................28

5.3 Restoring data............................................................................................................................................30

5.4 Closing Accounting Periods........................................................................................................................30

CHAPTER 6: ONLINE ACCOUNT PROCEDURES.....................................................................................................32

6.1 NEON Monthly Entries Procedures............................................................................................................32

6.2 PayPal Monthly Entry Procedures..............................................................................................................32

INTRODUCTION This working manual has been specifically designed for AMURT to guide the users on how to work with Quickbooks Accounting System in their day to day accounting operations for maximum benefit.

Any new accounting staff will find this manual useful as an introduction to Quickbooks Accounting system as it gives a step by step instructions on how to install and run the program in the computer. Throughout the manual, the various data entry windows have been illustrated to help a new user find it easier while entering transactions.

Finally the booklet will guide the user on how to generate and modify the various AMURT reports from the data entered and also give other general information regarding Quickbooks Accounting system.

CHAPTER ONE: QUICKBOOKS SETUP AND OPERATIONS

1.1 Installing Quickbooks

In AMURT, Quickbooks Premier Non Profit Edition 2009 has already been installed in one computer currently being used by the Finance Manager. There are 2 reasons that can necessitate fresh installation in future:‐

• When there will be need to move the Quickbooks software from one computer to another. In this case data will have been backed up in a back up file to be restored in the newly installed computer.

• Incase installation require to be done in more than the one computer to enable using Quickbooks in a multi user mode. ‐

To install Quickbooks program in the computer:

a) Close all open windows and running programs including any antivirus protection programs.

b) Insert the Quickbooks CD in the computer CD ROM drive. The software will prompt you to install the following components that are required to run the Quickbooks Program before the actual installation of the program if they are not already in the computer:‐

Flash 9.0 ‐

Microsoft .Net Framework 2.0 ‐

Office 2007 Primary Interop Assemblies ‐

Visual studio 2005 Tools for office ‐

c) After the above components have been installed, the installation wizard will prompt you to install Quickbooks.

d) Click Next to start the installation.

e) Select “I Accept the terms in the License Agreement” above and click Next to continue.

f) Select whether one or more users will have access to the Quickbooks to enable set up of the different users as below.

g) Enter the License and product numbers that came with the installation CD in the following window.

h) Confirm the location of the folder where

Quickbooks will be saved or choose a different installation folder and click “Next” below.

i) The installation summary details will be displayed for confirmation before installation starts. Click install to start copying the files.

j) Click “Finish” above to complete the installation. After the installation has successfully been completed, the Quickbooks icon will be placed on the desktop from where the system can be started to operate it.

1.2 Starting and Operating Quickbooks

To start Quickbooks after installation, select Quickbooks from the Windows start menu or double click on the Quickbooks Icon on the desktop. When Quickbooks is being used for the first time, the first step would be to create a new company file by going through an Easy step interview below. The Easy step interview takes you through the process of setting up the basic requirements of the company by asking questions and giving guidance on the best option suitable for the type of company being created.

By using “Next” tab through the interview, ensure that the whole process is complete until the following window appears.

1.3 Configuring multi –user mode

In Quickbooks, it is possible to set up the company file in a way that different users can be able to access different features concurrently. This

can be done by setting up as many different users as you require.

In AMURT, the program has currently been installed in only one computer and being used in a single user mode. If in future there will be need to have the system running in more than one computer, additional licenses will have to be purchased and installed so that it can run in a multiuser mode.

1.4 Setting up the Multi‐User Environment

All computers to be used in multi user environment have to be networked and installation done in each computer in the network. (Refer to the installation procedure above).

Please note. Each computer in the network must be installed using the same Quickbooks version but with a unique license number for each computer for the system to work in a multi user mode.

Network configuration should be done to ensure that all the computers can be able to access and update the company file data in the server computer.

The Quickbooks Administrator has to set up the different users with their passwords.

1.5 Operating Quickbooks in a Multi user environment

Using Quickbooks on a network is basically the same as using it on a single computer. However, for some activities, only one person at a time can use the company file. The other users must log off, close the company file or exit from Quickbooks. Then the person who wants to perform the activity must switch the file to single user mode. The system will always alert you in case there is an activity that can only be performed in a single user mode.

After completing the activity, the user can switch back to multiuser mode and the others can log on back or open the company file again.

1.6 Setting up Quickbooks

1.6.1 Chart of Accounts

A chart of accounts is a list of accounts that helps a company to track and record the sources of incomes, where to put it, the expenses paid for and how they are paid.

For AMURT, the chart of accounts will be categorized under the following:

Balance Sheet Accounts Income and Expense Accounts

Balance sheet accounts Quickbooks provides ten types of balance sheet accounts to choose from as you create and add to your Chart of accounts. The following table describes each type of balance sheet account and the transactions to use it for.

Account Type Used to track

Fixed Asset account Tracks the value of significant items that have a useful life of more than one year such as Buildings, Land, Machinery and equipment, Vehicles, etc.

Bank Account Creates one for each cash account such as Petty cash, cheques, Savings and money market.

Accounts Receivables Tracks money the customers owe on unpaid invoices

Other current assets Tracks the value of things that can be converted to cash or used up within one Year such as prepaid expenses, Employees cash advances, inventory, loans from the company.

Other current liability Tracks money the company owes and expects to pay within one year such as payroll liabilities, accruals, etc

Credit card Creates one for each credit card the company uses.

Equity account Tracks money invested or grants unused by the end of a period.

Income and Expense accounts

Income and expense accounts track the sources of income and the purpose of each expense. When transactions are recorded in one of the balance sheet accounts, a corresponding amount of the transaction must be assigned in one of the income or expense account. For example, when grant is received in AMURT in the US dollar account which is a balance sheet account, the corresponding amount must be entered in an income account.

The table below shows the income and expense account and what it is used to track:

Use this Account To Track

Income Grants received from USAID (the main source of income for AMURT), cost share

Other income Money received in the company other than the income above

Expense Money leaving AMURT

Other Expense Money spent on something other than the normal business operations

Adding New accounts in the Chart of Accounts

After a new company is created the system provides a chart of account for the kind of company selected during the easy step interview. This chart of account may not necessarily be relevant to the kind of accounts in use in the company. As such, these accounts should be replaced with the accounts relevant to the company created. This is done by deleting the accounts and adding the new acceptable accounts.

To add an account in the chart:

a) From the Lists menu, choose Chart of Accounts

b) From the Account menu button, scroll up and click New.

c) Choose one account type below and click Continue.

d) Enter the account’s name in the Name field. This name will appear on all the company financial statements.

e) If the account is a sub account of a main account, tick the

Subaccount check box and select the main account.

f) Enter a short description, note, bank account number depending on the type of account being added.

g) Click Save and New to enter another account or Save and Close to exit.

Editing or Deleting an Account

To delete an account in the chart of account:

a) Highlight the account to be edited or deleted while in the chart of account window

b) Click Account at the bottom of the page and scroll up to Edit or Delete

c) Save and Close after editing.

1.6.2 Donor List (Customers)

In Quickbooks Nonprofit Edition the Customers List can be used to track restricted activity for a particular donor (or donors).

To add a Donor:

a) From the Customers menu drop down list, select Customer Center

b) Click New Customer & Job and then New Customer

c) Enter the customer details i.e. Currency, address, addition info, payment info, etc.

d) Click OK to exit or Next to enter another donor

1.6.3 Project List (Class List)

AMURT has programs and/or affiliated organization in many countries around the world. Tracking program or grant income & expenditure (or fund balances) is possible with the Class List. It should be noted that Class List reports only show ordinary income & expense accounts, so other accounts will not appear automatically.

Each program or affiliated organization is given a Class based on the country in which they operate, and then a distinct subclass with the name of the program. Some donor projects can be set up as their own class, USAID, for example, which would track income & expenditure only related to one grant.

In the project implementation, AMURT is expected to give its own contribution in support of the overall budget which is referred to as the Cost Share. Cost share has been set up as a sub class of the main USAID ‐class

To set up the Class List:

a) Go to the List menu and scroll down to Class list as below.

b) Click on the Class menu and scroll up to New.

c) Enter the field office name and click Next to continue or OK to save and Exit.

1.6.4 Vendors list

Quickbooks uses the Vendor list to hold information about the people and

companies supplying goods and services to AMURT. For example, this list could include PEPCO that provides electricity or Africa online providing internet connectivity to AMURT.

To add a Vendor:

a) From the Vendor menu, click the Vendor Centerb) Click on the New Vendors tab to enter the vendor’s name, currency being used by the vendor, address,

and any additional contact informationc) If you owe this vendor money as of the company’s start date, enter the amount in the Opening

Balance fieldd) Click OK to save and exit, or Next to enter another vendor

Note: Vendors can be added as transactions are being entered. For example, if you enter the name of a new Vendor when paying a bill in the Pay to the Order of field, Quickbooks will prompt you to enter information about this vendor. Two options are given for setting up this vendor:

Quick Add – Adds the name of the vendor without going into the others details such as address, balances, etc. These can be added later.

Set Up – Opens the New Vendor window so that details relating to this vendor can be entered.

CHAPTER TWO: DATA ENTRY IN QUICKBOOKS

2.1 General Journal Entry

General Journal Entry is a record of transaction in which the total amount in the debit column equals the total amount in the credit column and each amount is assigned to an account on the chart of account.

General journal Entry window can be used when recording special transactions not involving cash movement e.g. capitalizing fixed assets, accruing monthly salaries, etc. The journal entry window can also be used even when there is cash movement if the traditional way of accounting is preferred.

At AMURT, the General Journal entry window is used to record Grants received, accrued salaries, cost share transactions etc. as explained in chapter three.

To make a General Journal Entry:

a) From the Company menu, choose Make General Journal Entries.

b) Enter the appropriate currency, the exchange rate if the amount is different from the home currency, date and the entry number of the journal. Quickbooks automatically assign numbers to the journal entries.

c) In the Account field select the accounts to be debited and the corresponding credits from the chart of account.

d) Enter a description of the journal in the Memo field and specify the class.

e) Save and New to enter a new journal entry or Save and Close to Exit.

To view the

General

Journal

Transactions: a) From

the

Reports drop down list, choose Accountant and Taxesb) Scroll across to Journalc) Click Modify Reportd) Click on the Filters tab, select Transaction Typee) In the Transaction type list, select Journalf) Click OK, a list of all journal entries added in the month-to-date is displayed. The date range can be

modified to cover the required period.To select and delete a single journal entry

a) Double click on the selected entry in the list above to view the original entryb) While in the journal entry go to the Edit drop down list and select Delete General Journal

c) The general journal is deleted and can only be viewed again in the audit trail, which should be active by default

2.2 Write checks

This window is used to record payment vouchers paid through cash in hand, Petty cash, Current or Savings accounts. In general, it should be used to record data related to all the accounts under Bank Type in the chart of accounts window.

Note. This window should not be used for any of the following:

To pay bills already entered in the Enter Bills window; use the Pay Bills window for this

To pay for received items if dealing with inventory that includes bills

AMURT uses the Write Checks window to record payments from the bank account for program activities,

advances, electronic payment transactions, etc. To enter a payment voucher in the Write Checks window:

a) Select Write Checks from the Banking menu drop down list. This will take you to the Write Checks window.

b) In the Bank Account Window, select the bank account initiating the payment. The ending balance of the account is automatically displayed to help in making informed decision on the current payment being made.

c) Enter the Check Number (for bank account) or payment voucher (cash payments)

d) Enter the Date and the Amount of the check.

e) Select the name of the customer, Vendor or Other Name in the Pay to the Order of window.

f) In the Account field select from the chart of account the budget items to charge for the payment.

g) Enter a brief description of the payment and the Class being charged.

h) Save and Close to exit or Save and New to enter the next entry.

Viewing Write Checks Transactions

Entries in the Write checks window can be viewed in the register by double clicking on the bank account in the chart of accounts.

By double clicking on a specific entry, the transaction can be viewed, edited, deleted, etc.

Deleting a transaction in Write Check window

a) While in the Chart of Accounts, double click on the bank account with the transaction to be deleted. This

will take you to that account’s Register

b) Double click on the transaction in the register.

c) While in the transaction, go to Edit menu.

d) Select Delete Check from the drop down list.

2.3 Transferring Money from One Account to Another Using Transfer Funds 

This window records money being moved from one account to another. For example, when grants are sent into AMURT by USAID, it is normally deposited into the US dollar account. For the money to be used locally, it has to be transferred from the dollar account to the Kenya shilling current accoount. This transaction should be recorded using the Transfer Funds window.

To Record Transfer of Funds:

a) Go to the Banking Menu and click Transfer Funds

b) In the Transfer Funds window, select the Account From which you want to transfer the funds

c) Select the Account To which you want to transfer the funds to

d) Enter the amount that you want to transfer

e) Save the transaction

2.4 Enter Bills 

This window is used to record bills received for goods and services whose payment will not be processed immediately.

In AMURT, bills that have been received and whose payment will be delayed for a time should be recorded using this window. This will also apply to partial payments made on bills received.

To Record Bills:

a) Go to the Vendors menu and click Enter Bills

b) Click the vendor drop – down arrow and choose a vendor or click Add New to enter a new vendor

c) Enter the correct date of the bill

d) In the Address field, enter or Edit the vendor if need be. Any changes you make here will automatically

update that vendor’s record.

e) Enter the amount of the bill in the Amount due field

f) Complete the Ref. No. Terms and Memo fields as necessary

g) In the Expenses tab, click in the Account field and choose an expense account from the drop down list. If you need to assign the bill to more than one expense account, click on another account field and enter the account

h) To correct errors in the detail area, click on Clear Splits or Recalculate

i) Save the bill.

2.5 Pay Bills

To record the payment of the bills above:

a) Go to the Vendors menu and click Pay Bills.

b) If you have more than one Accounts Payable, choose the one you want to pay the bills.

c) Select the bills that you want to pay.

d) Click on the Payment method drop down arrow and choose Check.

e) Select the Assign Check number to enter the check no. checkbox.

f) Click the payment account drop down arrow and choose the account from which you want to pay the bills with.

g) Click the Pay selected Bills button to record the bill payment.

2.6 Correcting and or Deleting Transactions during Data Entry

During data entry, errors can be committed and realized either immediately or later. To correct these errors, one needs to go back to the original entry by either:

a) Highlighting the account with the transaction to be corrected or deleted from the chart of accounts

b) At the bottom of the chart of accounts window, click on Reports and scroll up to Quick Report. The Quick Report will list all the transactions entered in the specific account

c) Indentify the account to be corrected and double click on the transaction with the magnifying glass symbol. This will take you to the original entry of this transaction.

If the whole transaction is to be deleted, Go to the Edit menu while in the transaction and scroll down to Delete the transaction.

If only one line is to be deleted, click on the specific line to highlight it and

a) Go to the Edit menu and scroll down to Delete Line.

b) Click on Recalculate to balance both the Debit and Credit

c) Save and Close.

2.7 Bank Reconciliation

A reconciled bank and cash account is one indicator of reliable data and reports generated thereof. It is very important to reconcile the bank accounts on monthly basis to ensure that the balances are in agreement with what is in the bank.

To reconcile a bank account in Quickbooks:

a) Go to the Banking menu from the main menu and scroll down to Reconcile. This will take you to the Begin Reconcile window.

b) In the Account field, select the bank account to be reconciled and enter the Date of the statement.

c) Confirm the Beginning Balance per the bank statement; this will be the closing balance on the last bank statement.

d) Enter the Closing Balance per the bank statement of the month to be reconciled.

e) If the bank charges and bank interest had not been entered before the start of the reconciliation, enter them in the Service Charge and Interest Earned fields, specifying the Accounts and Class to be charged and credited respectively.

f) Click on Continue. A list of check payments and (where applicable) deposits will be displayed. g) From the bank statement, tick all cleared items in the system until the Ending Balance equals the Cleared Balance; the Difference should now be zero. h) Click on Reconcile Now to display and print the bank reconciliation statement. i) If an error occurs when the bank reconciliation has already been done, click on the Undo Reconciliation tab to clear the reconciliation for the particular month to restart again.

To View a Previous Bank Reconciliation Report:

a) Click on Reports Menu and scroll down to Bankingb) Go across to Previous Reconciliationc) Specify the Bank Account and Statement Ending Date and the type of report requiredd) Click Display

To Set up Budgets in Quickbooks:a) Go to the Company menu and scroll down to Planning and Budgetingb) Click on Set up Budgets. This will take you to the Create a New Budget window.c) Specify the year and type of budget (in this case Profit and Loss)d) Click Nexte) Click on the Class criteria to set up the various classes of the operating budgetf) Click Next to continueg) Choose how you want to create a budget above and click Finish. The Income and Expenditure accounts

from the chart of accounts will be displayed so that the budget figures can be entered.h) Note: the amounts can be captured monthly, quarterly, or annually, depending on the needs of the

reports required.

CHAPTER THREE: ACCOUNTS TREATMENT OF COMMON AMURT TRANSACTIONS

3.1 Grants received from USAID

Grants received from donors are recorded using the Make General Journal window (Refer to 2.1 above).

To record this transaction in the journal entry window:

Dr. the Receiving Account in the chart of accounts

Cr. Grants received under income in the chart of account.

3.2 PayPal Income & Expenditure

See Chapter 6 for information on AMURT’s PayPal accounting procedures for Quickbooks.

3.3 Online Credit Card Donation Income

See Chapter 6 for information on AMURT’s online credit card income procedures for Quickbooks.

3.4 Other Expenses

All the other expenses for services and goods being paid immediately are entered through Write Checks

window.

3.5 Accruing for the monthly salary

At the end of each month the salary should be calculated based on total hours worked for each employee. A

payroll services firms’ services are used by AMURT for payroll & tax processing, and the entry made at the end

of the month should reflect the total payroll figures and the total tax paid. The Write Checks window can be

used to record this transaction.

Payroll processing firms’ fees should be recorded when an invoice is received; usually this is received with the

monthly payroll report documents. Use the Write Checks window to record this transaction.

3.6 Bills not paid

immediately

When goods and services are received in AMURT and are not paid immediately (or they are paid for in part) it should be recorded through Enter Bill window so that the balances on the specific vendors can be tracked easily.

To record this transaction

a) Select Enter Bills from the Vendors menu

b) Select the Accounts payable, the date and amount of the bill.

c) If possible specify the due date of the payment.

d) Enter the account to be charged with the expenses in the Account field, the Amount, Memo and Class.

e) Save and New or Save and Close.

3.7 Payment on Bills

When payment is made on bills the transaction should be recorded through Pay bills window. This way the outstanding balances on the specific vendor will be reduced or cleared. To record the payment of the bill:

a) From the Vendors menu, go to Pay bills b) In the Pay Bills window, select the bills to be paid and the Accounts Payable account. Any unpaid bills will be listed. c) Highlight the specific vendor being paid. d) Enter the other details e.g. the Date, Method of Payment, Assign Check Number and the Bank Account making the payment. e) Save the transaction.

3.8 Creating invoices

In AMURT, there have been no services or goods to outsiders to warrant rising of invoices in Quickbooks. However, the need might arise in future e.g. when persons or organizations other than AMURT uses a vehicle meant for AMURT activities. An invoice can be created in Quickbooks using the Create Invoices window.

To create an invoice:

a) From the Customers menu, scroll down to Create Invoices

b) Enter the Customer name who has received the service from AMURT

c) Specify the Class, the account receivable and the Date of the invoice

d) Under the Item field enter the service item being invoiced for and link it to an Account in the chart of account that will receive the credit when the invoice will be paid.

e) Enter a Description of the item and the Amount

f) Save the transaction

3.9 Receiving payment on invoices

When payment is received on the invoices to customers who have received a service from AMURT, this transaction should be recorded under the Receive Payments window to reduce or clear the outstanding balance.

a) From the Customers menu, scroll down to Receive Payments.

b) Enter the Customer name, Account receivable, date, amount, payment method

c) Save the transaction.

3.10 Recording Cost Share Income and Expenditure

The overall budget of AMURT has a cost share element which is the organization own contribution towards the activities of the program. On most occasions, this will be donations in kind, Volunteer services, or expenditures by the organization that meet all requirements for Cost Share (See AMURT Finance Manual). This should be captured in Quickbooks through Make General Journal Entry window by either Debiting or Crediting the associated Income/Expense account (i.e. Donated Services for volunteer services & the expense of the appropriate type, or the type of expenditure made in the case of cash expense, and the associated bank account). In either case the Cost Share Class must be selected.

3.11 Advances Given to Staff for Program Activities

Amounts received by staff for program activities should be recorded through the General Journal window

when the check is written, or the amount is withdrawn from the bank. The entry will be recorded by:

a) Open the Make General Journal Entries window.

b) Select the Bank Account from the chart of accounts.

c) Enter the check number, date, amount and the staff receiving the advance.

d) In the Expenses Account field, select the Accounts receivable account (Cash Advances)

e) In the Memo field, enter a short description of the expenses and specify the Class

f) Save and New to enter another transaction or Save and Close to exit.

3.12 Accounting for Cash Advances to Staff for Program Activities

When the activity is completed and the expenses report is received by the accounts office, this transaction

should be recorded through the Make General Journal window by:

Dr. Various expense accounts

Dr. Cash /Petty cash (with the unused money)

Cr. Code 14200 Accounts Receivable (or Cash Advance receivables account)

If the staff spent more than the money given, refund can be done from the office petty cash and as such the

entry will be as follows:

Dr. Various expense accounts

Cr. Code 14200 Account Receivable (or Cash Advance receivables account)

Cr. Cash/Petty cash (with excess cash reimbursed to the staff)

CHAPTER FOUR: COMMON AMURT REPORTS

4.1 Account Quick Reports

This is a report that the Finance Manager is likely to use quite often as it provides information concerning the various transactions entered in a specific account in the chart of account. To generate this report:‐

a) Click on the account required to highlight it in the chart of account

b) At the bottom of the Chart of account window, click on Reports.

c) Scroll up to Quick report to display all the transaction listing in the specific account.

d) Specify the date range to cover the required period.

4.2 Trial balance

To generate the Trial balance report:

a) Go to Reports menu.

b) Scroll down to Accountant and Taxes

c) Go across to Trial balance

4.3 Income and Expenditure by Field Offices

This report will display the income and expenditure statement for the AMURT program by the specific field

offices and the cost share. To display this report:

a) Go to Reports menu and scroll down to Company and Financials.

b) Go across to Profit and Loss by class

c) Click on Modify report to select the required date range.

d) By dragging the plus sign between the columns, the report data can be aligned for better

presentation.

e) Memorize the report

4.4 Budget Overview

After the budget has been set up, you will need to confirm that it has been entered properly by generating the

budget overview report.

a) From the Reports menu, scroll down to Budgets and Forecasts

b) Go across to Budget Overview

c) Confirm that the figures are correct.

4.5 AMURT Budget Vs Actual Report

This

report

compares

the Actual

income

and Expenditure against the budgeted income and Expenditure figures. It also shows the variance in amount

and in percentages. To generate this report:

a) Go to Reports from the main menu.

b) Scroll down to Budgets and Forecasts

c) Go across to Budget Versus Actual

d) Specify what you would want contained in the columns i.e. the monthly, annual or total figures.

e) Align the report.

4.6 Customizing the Look of a Report

Most reports can be customized for unique presentation of the data. For example, you can do the following:‐

a)

Change the font and how the numbers are displayed

b) Add or remove columns and adjust their width

c) Change the report titles

d) Change the order of transactions e) Filter the data contents

After a report has been customized, the settings can be saved for future use. Saving report settings is called memorizing report. The report retains the saved settings but uses the latest financial data such that when retrieved the data will have been updated but report presentation will remain per the settings saved.

When a report is memorized, Quickbooks adds it to the Memorized Report List.

To display this list:

a) From the Reports menu, choose Memorized Reports

b) Scroll down to Memorized Report list

c) Select the required report to display it.

CHAPTER FIVE: GENERAL QUICKBOOKS INFORMATION AND ADMINISTRATION

5.1 Setting Users’ Passwords

When a Quickbooks Company file is created, Quickbooks creates a user called Admin. This user is the Quickbooks Administrator for the company file. The administrator should set up a password before setting up any other users.

The Quickbooks Administrator has unlimited access to the entire company file and is the only person who can add additional users and change access rights and privileges.

For each user set up, the Administrator designates:

• A password

• Full access, Selective access or no access to each area of Quickbooks. The administrator defines

which features each user can access. To set up a user:

a) Choose Setup Users from the Company menu

b) Click Add User

c) Enter the User Name and password

d) Specify the user rights and privileges

e) Follow the instructions for setting up the users until the end.

5.2 Backing up data

It is very important to ensure that backup is done regularly preferably on a daily basis. This is a control measure on data security incase the computer with the systems develops problems such as collapse and data becomes irrecoverable. Back up should be done and stored in a different location other than the same computer e.g. in an external disk, Flash disk, etc.

To back up data:

a) From the File menu, go to save copy or Backupb) Select the type of file you want to save and click Nextc) Specify whether to back up online or locally as below and click Nextd) Browse to specify the location of the backup and click OK as below.e) The file will be backed up with the extension .QBB (Quickbooks Backup). The date of the backup will be

indicated in the file name.

5.3 Restoring data

If there will be need to restore data that had earlier been backed up, the following procedure should be followed:

a) From the File menu, scroll down to Open or Restore Company file.

b) Select the type of file you want to open or restore e.g. in Restore a backup file(.qbb) and click Next

c) Specify whether the backup was done online or locally.

d) Select the location of the file to be restored and where you want to restore the data. E.g from a flash disk to hard drive. e) Save the file. If the file was there before, it will ask whether you want to replace the already existing file. Click Yes.

f) To confirm that you are absolutely sure that you want to overwrite data in the system, it will prompt you to literally type the word ‘YES’. Click OK when sure.

Please Note. If data had been backed up and for one reason or another a fresh installation has been done in the same or a different computer, the installation must first be updated in the internet before the data can be restored.

Quickbooks have an in build internet update feature that allows automatic update of Quickbooks versions from the internet unless this feature is switched off. As such data entered after an update has a higher version that the version of the installation CD and therefore the need to get the updates.

5.4 Closing Accounting Periods

Quickbooks offers a feature that enables the user to close accounting periods to avoid errors in data entry in those periods and making any unauthorized changes in the accounts. This feature can be used as an internal control measure to guard against making changes in data that have gone through checking and certification by a supervisor.

It can also be used when a financial year has ended and an audit conducted to avoid any further changes to the data.

To close an accounting period:

a) From the Edit menu, scroll down to Preferences

b) Go to Accounting and then to Company preferences

c) At the bottom of the company preferences window, select the date through which accounts are to be closed.

d) Enter a password that will be used to open any transaction prior to this period.

e) Click OK.

CHAPTER 6: ONLINE ACCOUNT PROCEDURES

This chapter will cover the procedures for creating Quickbooks entries for the two main types of online transactions related to AMURT USA: PayPal & Credit Card transactions (through the NEON system).

6.1 NEON Monthly Entries Procedures

a) Backup Quickbooksb) Log into account at www.amurt.usc) Click on Reports from the left menu bard) Click on New Reporte) Scroll down to click on Donation Detail Reportf) Click the Donation tab g) Enter the following criteria:

a. Donation Date > Last NEON Report Date (i.e. “>12/05/2010”)b. Donation Status = Successc. Tender = Credit Card (Online)d. Optional: Add PayPal for summary of all online transactions for the month. Example: select

“Advanced…” from the Tender drop-down menu, add both =Credit Card (Online) and =PayPal, select Submit

h) Click Load Criteria, press Searchi) Export to Excel: Press Excel tab at top

j) Open the downloaded file in Excelk) Sort by date & delete columns that are not needed (address, donor ID, campaign, etc.)l) After Amount column, add 2 columns: Fees & Totalm) Determine the Fund Restriction based on the Purpose column in the excel spreadsheetn) Using USMS Credit Card invoice for current month, enter fees with their corresponding NEON entries

(example: 12/01/2010 donation, gross $100, fee from USMS = -$1.50). Total all lines & create sum total at bottom.

o) Create a Class List table with all active classes from the month’s online transactions (example: Haiti, Disaster Fund, Unrestricted) along with columns showing the total gross, fees, and net for each class.

p) Summarize all transactions in the Class List tableq) Using the Class List table, make a month-end Quickbooks deposit entry , where each class has the

gross donation total entered as an income (example: 43450) and the credit card processing fees as an expense (65190).

r) Check the total in the Quickbooks entry against the total for all “BKCD Processing” Credits on the month’s bank statement.

6.2 PayPal Monthly Entry Procedures

a) Backup Quickbooks Company fileb) Open a new browser window and go to www.PayPal.comc) Sign into the AMURT PayPal accountd) Along the top menu, select Download History from the History drop-down menu

e) Select Last Download to Presentf) From the drop-down list called File Types for Download select Quickbooks (.iif)g) Click Download History button in lower right cornerh) For Name of PayPal Account enter 008i) For Name of Other Expenses Account enter 65100j) For Name of Other Income Account enter 46400k) Click Download Log

l) Open Quickbooks company filem) Under the File menu, click Utilitiesn) Select Import and then IIF Fileso) Find Download Log file saved from PayPal website (default is in the Downloads folder), open filep) Verify that all information from PayPal Log file has imported to the correct accounts in the Quickbooks

company fileq) Rename Accounts in imported PayPal transactions to specific income/expense accounts

a. For example, income from an individual donor would become 43450r) Delete Customer:Job entry; this is automatically entered by PayPal and will result in an error message

if it is left in the entrys) Add any notes (notes are found in the NEON database; see NEON instructions, above)t) Classify both the income & expense (PayPal fees) to appropriate category (this also may require cross-

referencing NEON database)u) Book any transfers from PayPal account during the month (this will not import with the IIF file, but can

be seen on the History report from PayPal)