[SchoolFinance] Reserve Account

[Lisa Harkin]

Agreed with Pete Orne, keep it on the Balance Sheet.
Unfortunately, the person before me set up completely new funds, so I kept
things consistent.

Yes, I have asked our auditors, many times, I'm sure they are sick of me
asking but I am def going to ask if I can move the balance out of the
separate funds and onto our Balance Sheet, like Pete has done.

Thanks!


On Fri, Jul 21, 2023 at 1:57 PM Pete Orne <pete.orne at fivetowns.net> wrote:

> 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
>> _______________________________________________
>> SchoolFinance mailing list
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>
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-- 
Lisa Harkin
207-651-3407
Finance Manager
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