You collected funds for your mission fund initiatives. It is now time to disburse the funds to all of the wonderful charities your ministry supports around the globe. How do you record all the expenses in QuickBooks Online?

In this tutorial, I will show you how to record your ministry expenses for a restricted fund in QuickBooks Online continuing with my four-part blog series.

If you missed part one of this series, you can check out how to record restricted revenue into restriction.

To get started with recording your expenses, watch the video, and follow along with the guide.

Record restricted fund expenses

Record your expenses normally and apply the general fund class, customer/restricted fund project, and location to the transactions.

Click the +New icon and select expense or check under the vendors' column.

• Payee = select the appropriate vendor name

• Bank Account = select your bank account

• Payment Date = enter the payment date

• Check/Ref No = enter the check number or confirmation number

• Category = select the appropriate expense account

• Description = enter the payment purpose

• Amount = enter the amount paid

• Customer = customer/restricted fund project

• Class = select the General Fund class

• Location = 1. Without Donor Restrictions (optional)

• Memo = repeat the same description from above

• Attachments = add a copy of invoice or bill

• Click save and close

Impact on the financial statements: the expense account increases and the bank account asset account decreases.

Don’t forget to subscribe to our blog to get notified of part 3 of this series on how to record the release of used restricted funds out of restriction.

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Do you have questions about using QuickBooks Online to run your nonprofit or church? Contact me - I am happy to help!