Nonprofit News by Soft Trac

The payment of vendors by credit card will require a clearing account with a Cash (CSH) type account, the use of Cash Disbursements to record receipts as expenses for vendors and finally recording AP invoices to vendors offsetting the credit card clearing account.

Set up Credit Card Clearing Account
1. From the Navigator select Accounting Setup.
2. From the Task Window select Chart of Accounts.

3. Click on New to create the new account.
4. Make sure the Segment is GL, Account Type is Cash and the Designation is APO.

Record cash receipts as expenses for vendors
To record the credit card receipts as expenses for your vendors you will need to use a manual Cash Disbursement (Transactions>Enter Cash Disbursements) session. This transaction will act as pseudo AP invoice by associating the vendor with the expense. In the cash disbursement transaction select the appropriate Vendor for Payee ID, debit the appropriate expense and credit the new Cash type Credit Card clearing account. When the credit card statement is received, you will record the Accounts Payable Invoices to the appropriate vendors, debit the Credit Card clearing account and crediting the expense.
1. From the Navigator select Basic Transactions.
2. From the Task Window select Enter Cash Disbursements.

3. Create a new session selecting the Credit Card Cash Account.

4. Record the document information including the appropriate vendor. Debit the expense and credit the Credit Card Cash Account.

When the credit card statement is received, record the vendor invoice in Accounts Payable. Debit the credit card clearing account and credit the appropriate accounts payable account.

You can then pay your credit card company with a check and you will be able to track your expenses by vendor using the Vendor Activity Report.

Are you trying to create Supplemental Pay Calculations for 2012 this week? If so, be sure you create your 2013 pay schedule for each processing group in the calculation.
To create pay schedules for 2013, go to Maintain/Processing Groups.
• Open the processing group.
• Go to the Pay Schedules tab.
• Type “2013” in the Year field.
• Fill in the first pay day for 2013, and the first period end date.
• Click Save.
Do this for each processing group that has a supplemental pay calculation to run.

If you need help please call Soft Trac at 207-221-0342

If you answer yes to any of the below questions, this resource article is for you!
   • Wishing you could save your organization money during your next audit?
   • Does the mere mention of Form 990 preparation leave you dazed and confused?
   • Does the thought of Form 990 exhaust you even before you take your first step?
   • Do you use Sage 100 Fund Accounting software?

The attached resources will provide you with easy to use steps that will result in a savings of time and money when working with your auditors or preparing for the submission of your Federal 990.

Sage FA 100 Report Groups is an easy to use tool that will aid you in assigning IRS 990 Line Numbers for Parts VIII, IX and X. Rather than assigning these line numbers individually to General Ledger accounts, Report Groups allows you to group multiple accounts and assign the appropriate 990 Line Numbers. Once this information is entered, use 990 Worksheet reports in the Accounting Module to print this information in preparation for the completion of IRS Form 990.

   • IRS 990 Form

   • Report Groups to create IRS 990 Line Numbers

   • Sage Form 990 Lines

   • 990 Worksheets in Sage 100 Fund Accounting

   • IRS Form 990 Instruction

Sage recently posted an update to Sage Fund Accounting (formerly Sage MIP Fund Accounting). Version 10.2.11, is now available for download from the Sage MIP Fund Accounting Knowledgebase. The v10.2.11 download link as well as all of the detailed release information and installation instructions can be found within Knowledgebase article #311222.

You may access the knowledgebase article at www.sagesoftwareonline.com. After logging in, simply click the green “SUPPORT” button to be directed to the main support page, which contains a link to the Knowledgebase. If you are not already registered for Sage Software Online, click the “Register now” link on the login page.
As v10.2.11 is a cumulative update, it includes all of the updates (v10.2.7, v10.2.8, v10.2.9, v10.2.10 and v10.2.11) since the October 2010 release of v10.2.6.

The updates prior to v10.2.11 contain:
- The following federal changes:
• The Employee Social Security withholding rate was reduced to 4.2%.
• The Earned Income Credit option is no longer applicable.
• The withholding allowances and the percentage method income tax withholding tables were updated.
• The percentage method nonresident alien calculations were updated.
• The HIRE Act has expired effective 12/31/10; therefore, all HIRE Act benefit codes should be changed to Discontinued.

Changes in state withholding tax information for AZ, CA, CO, HI, KY, ME, MO, MI, MN, NM, ND, OK, OR, PR, RI, VT, IL and Palau.

Feature to credit the 2% excess employee social security withholding back to each employee if your organization ran payroll before installing v10.2.8 which was released on January 4, 2011 and you have not processed the credits manually. Please refer to Knowledgebase article #316443 for more details on how to set up and use this new payroll feature.
- Resolutions to customer reported issues.

The v10.2.11 contains the above updates and:
- New update makes accommodation for the reduction in the FUTA tax rate from 6.2% to 6.0% effective 7/1/2011
- Resolutions to customer reported issues (See aKB 317867 for more information on all resolved issues).

It was a pleasure to sponsor and attend West Virginia Community Action Partnership’s 2011 Education Conference in Charleston, WV this week. Soft Trac provided information on Sage Fund Accounting, Sage Fundraising, ETO by Social Solutions, and EZContentManager by ACOM.

The WVCAP’s had the opportunity to learn more about Facing the Changes of Poverty through Community Action at the conference. This conference offered a little bit for everyone from Administration and Finance to Weatherization and Program Development.

Although the flight into the small Yeager airport was interesting, Charleston is a beautiful city that makes you feel like you are visiting a small rural community. The 84 degree weather was also a welcome change.

The RIDE UPLOAD UTILITY FOR MIP, developed by Soft Trac LLC for Charter Schools and Collaboratives in Rhode Island, has been enhanced to provide greater flexibility of reporting.

Enhancements include the following:

• Ability to enter the Fiscal Year Begin date. This eliminates the need to close the prior fiscal year before reporting on the current year.
• Option to exclude budget in the upload.
• Ability to code revenues for internal reporting needs while still meeting RIDE’s coding requirements.
• Allows schools to allocate Unemployment and Workers Compensation Insurance same as with other payroll benefits and still meet the RIDE requirement for summarized reporting..
• Allows schools the flexibility to allocate Advertising based on school’s needs, but send data to RIDE per their requirements.
• All Balance Sheet object codes (Assets, Liabilities and Equity) will be coded to meet RIDE’s guidelines.
• Validation (Valid EXP Codes button) verfies accuracy of Expense coding against the Account Code Combination table in MIP.
• Export to Excel – user can now export final file to Excel for ease in reviewing the data before uploading to RIDE.
• Reporting Period and Budget Version have been added to the Report Header

The utility was developed by Soft Trac for the Rhode Island Charter Schools and Collaboratives who use the Sage MIP Fund Accounting Software.

For more information:
Call 207.221.0340
Email darla@softtrac.com