Income Accounts are offset accounts which track the source of revenues received. In dual entry bookkeeping, this means that when $100 dollars comes in to the checking account from general offerings you would also have a $100 entry on your “General Offerings” income account to track that money came from there.
For churches, income generally consists of offerings. However, it may also include interest on bank accounts or money received from the rental of property.
Since income accounts track the money coming in to your church, you can create budgets for these accounts making it easier to plan spending and projects. For instructions on adding budgets see the chapter called “Ledger, Actuals, and Budgets.”
- The income accounts can be found in the Accounts grid.
- Access the accounts grid by going to “Accounts” in the menu bar, choosing Account Types, and the selecting “Income.”
- You can also click on the “A” in the toolbar and change the account type filter at the bottom to “Income.”
- To add an income account, click the Add button.
- Type in the name of this account. There is no beginning balance for income accounts since these accounts are designed to track income coming in to the software.
- Now choose or add the grouping categories you want. If you don’t choose to group this income account, you will still need to pick a sequence number.
- When you are finished, click OK to save the account.