Transferring Funds From Checking to the Debit Account
When you have a separate Bank Account for a church debit card(s), it is really, really, (really!) important that you learn how to transfer funds into it and how to record that transfer correctly in Jewel. Recording it incorrectly can result in overdrawn accounts, wildly incorrect ending balances in both checking and debit accounts and errors in local fund balances, as well as delays while your support person fixes the problem.
This required two-step process is not difficult, once you understand it and learn to use it consistently.
Move the Money at the Bank
Keep track of the actual bank balance of the debit account so you can transfer money from checking before an overdraft occurs. The debit card holders should notify you if they are making an unusually large purchase, so you can ensure there are funds available to cover.
Move money from the checking account to the debit account, using one of the following methods:
- Online transfer (easiest)
- Phone call to the bank
- Visit the bank to request the transfer in person
Record the Transfer in Jewel
Enter transfers into Jewel after you actually make the bank transfer. But then do it, before you forget. Don’t wait, then try to remember if you did it or not. Check your Transfer Report if you're not sure.
Using “Transfer Funds” found on Jewel home page, create a transfer in Jewel to reflect/copy what has already happened at the bank. Do not create a “General Journal Entry.” Always use “Transfer Funds” to record these transfers.
Use the date of the actual transfer, and type "To fund Debit account" in the Memo.
Do the steps in this order. If you create the transfer in Jewel first, then forget to make the actual bank transfer, debit account overdraft is much more likely. If you make the actual transfer at the bank and then forget to enter it in Jewel, your report balances will be off, leading to confusion when it comes time to reconcile.
- NOTE: Creating a transfer in Jewel does not move money at the bank. Jewel does not communicate with your bank. You must move the actual funds between bank accounts, then create a transfer in Jewel to reflect what actually happened at the bank.
Once you have correctly created this transfer, no other entries are needed. You can reconcile both checking and debit accounts from this one transfer, because both debit and checking accounts are involved and both will have entries that show up on their bank rec screens.
- NOTE: If, while reconciling, you believe you need another entry to complete the reconcile, stop and get auditor assistance. If you have followed the instructions so far, you should never need an additional “General Journal Entry” or “Transfer” in order to complete the reconciliation in either checking or debit accounts. In fact, using a “General Journal Entry” to create a “Transfer” can cause a lot of chaos in your reports.