This project is to set up recurring bank transfers, so they transfer automatically.
Benefits of Doing This:
- Allows one-time setup per year of budgeted reserve recurring bank transfers
- Set the GL Entry to accompany the transfer so it posts automatically
- The accounting team would only need to review exceptions when an Association has low funds
- Only one of the bank accounts must be with an integrated bank
Questions to Consider:
- Do you have Associations that budget for reserve transfers?
- What minimum bank balance would you set so the transfer does not drop the balance below the threshold?
- Am I transferring funds to investment accounts? This will need to be done by cutting a check vs. a bank transfer.
- Am I transferring funds to/from accounts with a non-integrated bank? This will need to be done by cutting a check vs. a bank transfer.
Approach and Details:
- Review the Association budget to understand the amount to be transferred and the frequency.
- Assign a team member to set up a recurring transfer on each Association, where needed.
- Include GL Entry on the transfer screen to record expense and income if reporting in fund format or expense and equity if using consolidated reporting.
- No need to include the bank GL in the entry since the transfer writes that for us upon posting the transfer.
- End date is not required. This helps so the transfer can continue year after year if no changes need to be made per the budget.