View source for Mortgage Record Keeping

== Tracking Loan Balances ==

Please follow the instructions listed below for all payments, interest, etc. related to the church loan.  Feel free to adjust names and numbers to fit your system and situation.

=== Create Accounts ===
Enter the following accounts into Jewel:
# 10 - [XX Union Conference] Church Building Loan - Type is "Liability (Mortgage or Other Loan)"
# 991 - Loan Building Payment - Type is "Local Fund" - '''Use this account for all donations received and payments made on the loan.'''
# 992 - MORTGAGE PAYABLE - Type is "Local Fund"
# 992.1 - [XX Union Conference] Loan Payment - Type is "Local Fund"
# 992.2 - [XX Union Conference] Loan Interest Paid - Type is "Local Fund"

=== Receive the Loan Funds ===
#Start New Offering
#Enter like a regular offering.
#*Receipt of the loan funds as a separate deposit. Do not include it with the regular Sabbath offerings.
#*Enter in the check number if a check was received or "ACH" for the check number if it was automatically deposited into your account.
#*Use the name of your Union Conference (or whoever wrote/sent the loan money) as the donor name.  Uncheck "Get Receipt" if you are establishing their name in Jewel for the first time.
#*Enter the money into the local church account you have paid or will pay expenses related to the loan (i.e. Building Fund/Roof/etc.).
#*Edit the memo line of the deposit slip to say "Loan Received from [XX Union Conference]" instead of "offering deposit."

=== Establish the Loan ===
#Go to Accounting
#Make General Journal Entry
#Under memo type "To establish [XX Union Conference] Church Loan"
#Leave the circle filled for "Deposit and Interest Earned"
#Leave the bank account empty
#Under accounts, type the following:
#*10 - [XX Union Conference] Church Building Loan - enter the total amount of the loan draw under Income
#*992 - MORTAGE PAYABLE - enter the total amount of the loan draw under Expense
#Click OK
#When it comes to reconcile, you will need to check off these zero dollar entries on the bank reconciliation page.

=== Record a Loan Payment ===
#Go to Accounting
#Make a General Journal Entry
#Under memo type "[MONTH] Church Building Loan Payment"
#Leave the circle filled for "Deposit and Interest Earned"
#Leave the bank account empty
#Under accounts, type the following:
#*992.1 - [XX Union Conference] Loan Payment - enter the total amount of the check under income
#*10 - [XX Union Conference] Church Building Loan - enter the total amount of the check under expense
#Click OK
#When it comes to reconcile, you will need to check off these zero dollar entries on the bank reconciliation page.

=== Record an Interest Payment ===
#Go to Accounting
#Make a General Journal Entry
#Under memo type "[MONTH] Church Building Loan Interest Applied"
#Leave button filled for deposit and interest earned
#Leave the bank account empty
#Under accounts, type the following:
#*10 - [XX Union Conference] Church Building Loan - enter the total amount of the interest for the month from the NPUC statement of account under income
#*992.2 - [XX Union Conference] Loan Interest Paid - enter in the interest amount under expense
#Click OK
#When it comes to reconcile, you will need to check off these zero dollar entries on the bank reconciliation page.

You can definitely combine the two General Journal Entries into one.  At the end of the month, once you have entered your payment and interest as General Journals, the Church Loan line item on your financial summary page should balance with the ending balance on your lender's Statement of Account.