[SchoolFinance] Reserve Account

[Pete Orne]

What I finally went with is a "Restricted Account" to show that those
previously undesignated funds must be used for a certain purpose.  This is
an equity account like your Undesignated Fund Balance.

In the handbook (Sep 2022 version), on page 7-10 you'll see 7200 are
restricted fund balances, so 1000.0000.0000.37200.000 would be a generic
restricted account.  You'll see there are more descriptive accounts for
Capital Reserves (37210), Special Ed (37240) and other funds (372?0).

A journal entry moving undesignated to restricted is all you need.

When you use the funds you'll want to move the money to the appropriate
fund to track the use.

Please let me know if you have any questions.

Pete

Pete Orne, SFO

Business Manager

Camden Rockport/Five Town CSD

22 Knowlton St.

Camden, ME 04843






*pete.orne at fivetowns,net <pete.orne at fivetowns,net>*


* <pete.orne at fivetowns,net>*


* <pete.orne at fivetowns,net>*


On Fri, Jul 21, 2023 at 11:54 AM Alice Tucker <atucker at cherryfieldschool.org>
wrote:

> Good Morning;
> I have never dealt with a reserve account before and the school board/town
> voted to put a certain amount from our carryover into a reserve account for
> unexpected expenditures for 2023-2024.  Can anyone tell me how to do the
> accounting for this?  I have looked at the accounting handbook but could
> not figure it out.
>
> *Alice Tucker*
> Administrative Assistant
> Cherryfield School Department
> 207-546-7770
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> SchoolFinance mailing list
> SchoolFinance at maillist.informe.org
> http://maillist.informe.org/mailman/listinfo/schoolfinance
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