Georgia-Cumberland Conference of Seventh-day Adventists

Treasurer's Frequently Asked Questions

Our frequently asked questions are organized by the following categories.  Clicking on a category will bring you to that section of the FAQs.  Also, if you hit the control button and f key at the same time, your browser will bring up a dialog box to search this page.  This box may appear at the top or bottom of your screen. 

Conference Evangelism Funds
Conference Codes
Adventist Online Giving
Board Reports
Church Budget
Conference Remittances
Donor Specified Funds
Financial Records Retention
Jewel Questions
Sales Tax Exemption
SURF Transfers
Tax Deductible Receipts




Q: When making payments, can Jewel give you the option to designate a payment as a 1099 payment?
A: Jewel Version 6, which you will soon receive if you haven't already, has a "Form 1099 payments" report under "Reports & Graphs" which will total payments by recipient on your behalf, and allow you to select payments to include in 1099 total.  To use this feature, you have to hit the "Choose Form 1099 Payments" once you are in the "Form 1099 payments" screen.  Then select a vendor and then select which checks paid to that vendor are eligible to be included in a 1099. (For example, if a church member who provides services to the church, but is also reimbursed separately for church expenses, only the payments that are compensation for services need to be included in a 1099).

Jewel version 5 does not have a checkbox to mark a payment as a 1099 payment.  Jewel does, however, have the ability to sort the Check Report by Payee.  I recommend that at year end, you go to:

    1) "Reports & Graphs"
    2)  Select "Check"
    3) Under "Dates" left click on the down arrow and select "This fiscal year-to-date"     
    4) Under "Sort Order" select "Payee"
You then have the option, from the right-hand side of the screen to select either
          "Copy to Clipboard" which you could then "Paste" into an Excel spreadsheet
You can then analyze the Check Report and determine who should receive a 1099.

Q: Which 1099 Do I Want to File?
A: Churches and schools should always use the "1099-Misc" to report payments made for services rendered.


Q: Who Should Get A 1099?
A: The following lines are a quote from the "Instructions for Form 1099-Misc."  These examples relate specifically to money to be reported on  "Line 7," the line on which you should be reporting all reportable payments. 

"Examples.   The following are some examples of payments to be reported in box 7.
Professional service fees, such as fees to attorneys (including corporations), accountants, architects, contractors, engineers, etc.

Payment for services, including payment for parts or materials used to perform the services if supplying the parts or materials was incidental to providing the service. For example, report the total insurance company payments to an auto repair shop under a repair contract showing an amount for labor and another amount for parts, if furnishing parts was incidental to repairing the auto.

A fee paid to a nonemployee, including an independent contractor, or travel reimbursement for which the non employee did not account to the payer, if the fee and reimbursement total at least $600. To help you determine whether someone is an independent contractor or an employee, see Pub. 15-A."Here are my examples of who this might be at your church or school: janitor, lawn maintenance, plumbing, repair and maintenance, roofer, carpenters, painters, piano tuner.    (NOTE: You should never give both a 
1099 & a W-2 for the same payments.)

Clarification on "Who Should Get a 1099"
Sometimes a treasurer will tell me "I don't have to give a 1099 to this or that company because they're a business."  Unfortunately even businesses, or companies, must be given a 1099 unless they are a corporation. 

Q: How can you know if a company is a corporation?
A: Simply copy and past the links below for your state into your web browser.  The link will take you directly to the web page for looking up corporate business status in your state. NOTE: Be sure to verify that corporate status is "Active."  
          For Georgia businesses:
          For Tennessee businesses::

Q: Do we still have to issue a 1099 to the pastor if we present him with a gift at any time during the year?
A: If the church gives your pastor a cash, or cash equivalent gift [such as a gift card], you must report this using a  1099. Technically such a gift should be included on an employee's year-end W-2 form--for instance gifts to your church secretary--but since the pastor's payroll is run by the conference, any gift given by the local church must be reported on a 1099.   This is also true if you give your pastor a substantial non-monetary gift--for example a computer, a vehicle, or a cruise. In response to another question about pastors' gifts and 1099 reporting, here is further clarification:The $600 threshold which is commonly referenced with regard to 1099's, directly correlates to the $600 threshold requirement for self-employed to file a Schedule SE.  Because your pastor is an employee of the Georgia-Cumberland Conference, your pastor is not self-employed.  Therefore the $600 threshold does not apply to your pastor.  Technically any cash or cash-equivalent gift amount, or value of non-cash gift of substantial value must be reported on a 1099.

Q: What about when a card  is passed around and people sign the card and add funds and this is presented to the pastor? 
A: That is probably the most ideal way of giving a gift to your pastor.  As long as the money is not handled by the church treasurer--not counted, not deposited--the church has no reporting obligation.  The money is deemed to be gifts from individual members, not from the church. (The pastor should still report this on his tax return as income, but the church is not required to give him a 1099, since the money came from multiple sources.)

Q: Just so that I'm clear, a $50 fruit basket for the pastor does not have to be reported on a 1099, correct?
A: That is correct!  Perishable items--food items, in general--do not have to be reported on a 1099.

Q: We took up a collection for our pastor (under $200) and purchased a gift for him.  Since this is below the $600 threshold mentioned below, we don't need to claim this, correct?
A: Good Question.  Please note that the $600 threshold has no correlation to gifts to pastors.  From the IRS perspective, technically, any gift given to a pastor--or any other church or school employee-- should be reported on the employee's W-2 [if the church does the payroll] or on a 1099 [if the conference does the payroll].  A $200 gift would probably come under the "non-cash gifts of substantial value," which are reportable on a 1099.  The only exception to this would be a perishable or consumable gift such as food.

Q: I keep seeing "for services" in reference to the $600 or more.  But then the Pastor's gift wasn't for services and it needs to be 1099'd, so I was wondering about our fundraiser we held that DID go through our books.  We wrote a check for $3517.00 to one of our members who we were raising funds to go toward their medical bills for her diagnosis with life-threatening leukemia.  I can't decide if I need to send a 1099 out for this or not. 
A: This question has two parts.
1: According to the IRS, any gift to an employee is considered to be related to--compensation for--services rendered to the congregation.  This is why they [the IRS] considers gifts to employees to be taxable income.
2: According to the IRS, assistance to individuals in need, should not be reported on a 1099 unless that individual is a church employee.  I recall one instance when the pastor hit tough times and the church voted to give him some financial assistance.  In this case, the church needed to give the pastor a 1099.  (The same would be true for a church secretary or other church employee.)  But in general, financial assistance is considered a gift from the church to the recipient. No services are provided to the church by the recipient. No income should be reported by the church on a Form 1099.

Q: What should I do if the person or company to whom I need to issue a 1099, refuses--or neglects--to give me their TIN (Taxpayer Identification Number)? 
A:In summary, if you fail to get an accurate taxpayer id number, you are required to withhold 20% from all future payments to this service provider, and send these Backup-Withholding dollars to the IRS.  This requirement is a good reason to request that all service providers complete and sign a W-9 before you pay them any amount that will put them over the $600 annual threshold   Knowing that you will be withholding 20% from their pay will usually convince a provider to supply you with the necessary information.  

Q: What is a W-9 and what is it for?
A: A W-9 is a "Request for Taxpayer Identification Number and Certification".  W-9's are a great tool for determining who needs to receive a 1099 from you.  I highly recommend that you keep a completed, signed W-9 on file for every service provider to whom you have paid more than $600 in any calendar year.  I recommend that you keep these all these forms in one "W-9" file for easy reference in January.  I encourage you to evaluate your disbursements and come up with a list of companies and 
individuals to whom you paid >$600 for services during the past year.  Do you have a W-9 for each one?  If not, I 
encourage you to mail out blank W-9's to these individuals.  Include a stamped, self-addressed envelope, and 
a note requesting them to return the completed, signed form to you ASAP.  Completed W-9's not only provide 
you with the taxpayer identification numbers, but can also help you determine whether a company or contractor 
is incorporated. 

Q: What are the deadlines for filing 1099-Misc?
A: Send Copy B and Copy 2 of the 1099-Misc form to the recipient by January 31.
Send Copy A of the 1099-Misc form, along with the 1096 summary of all 1099 forms, to the IRS by February 28.
NOTE:  There are penalties for filing late, filing incomplete 1099's, or failing to filing a required 1099.

Q: Do you recommend online services for filing 1099s?
A: Due to the sensitivity of the information you will be entering, you must be extremely cautious what online providers you use.  You should verify on the IRS website,, that a provider is an authorized to e-file payroll forms.  An additional precaution would be to ensure a provider has a good rating with the Better Business Bureau. One website that meets both of those criteria currently (12/19/2013) is  There are others.  Please tread cautiously!

Q: Where can I get 1099 Forms?
A: Option #1: Your local IRS office, and occasionally at your local post office or library.
Options #2: Call: 1-800-TAX-FORM (1-800-829-3676).  The sooner you call the better, as the IRS has to process the requests, then mail the forms out to you.  Be sure you request both the "1099-misc" AND the 1096 form. (The 1096 is the summary form which must be completed and sent into the IRS along with the top, red copy of the 1099's.)  
Option #3: 1099's and a 1096 may also be purchased at most office supply stores, while supplies last. Stores 
tend to sell out of small-quantity packets, so buy early!
The free 1099's usually require use of carbon paper, or each duplicate part (there are general at least 3 
parts to each form) needs to be hand written.  The 1099's purchased at office supply stores, generally make 
carbon-less copies, meaning you really need to apply pressure when completing the form so that the last 
copy--usually yours!--is readable.

Year-End Questions

Q:  I do have donations that were postmarked, or were delivered to me, by December 31, but because of the timing, the actual deposit date is in Jan 2013. Is that going to be a problem? Can I post these offering in 2012 when they are actually deposited in the bank in 2013?
A:  Contributions must be posted in the year they are delivered by the donor.  Delivery date is determined by the following: 
           1) The postmark date -- contributions/donations mailed to the church must be postmarked no later than December 31 
           2) The date when the donation is/was actually received by the church or church treasurer.  

 You should deposit these funds as soon as possible!  It IS OK to post them to 2012 and deposit them in 2013.  When you do your December 31, 2012 bank reconciliation, these deposits will simply be accounted for as "Uncleared Deposits" or, to use a more technical accounting term, "Deposits in Transit."  They will then clear when you do your January 31, 2013 bank reconciliation.

NOTE: I have heard people give an offering call on the first Sabbath of the new year, tell the congregation that checks contributed on that day can be credited to the previous year if they are dated no later than December 31. This advice is incorrect and should NOT be given!!  Checks received by the church in January should be posted in January, no matter what the date on the check or the tithe envelope is!

Q: Is there a way I can roll this budget over to next year?
A: Yes.  Be sure to do the following BEFORE you close the year:

1) Select "Maintenance" [from the top of your Jewel "home" screen]
2) Select "Edit Budget Allocations"
3) From the "Budget Year" shadow box in upper left quadrant of the "Edit Budget Allocations" screen, select "Copy from This Year to Next Year"

You can then select "Next Fiscal Year (201X)" and either simply look it over to make sure the numbers copied over, or actually make any necessary changes to the coming year's budget.

Q: Is there only one fiscal year-end report in Jewel?  The software prompt had reports, but only the Financial Summary printed.  
A: Jewel is defaulted to print out only one year-end report, a Financial Summary.  You have the option to request additional year-to-date reports at any time.

Conference Evangelism Funds

Q: How do I post evangelism funds received from the conference?

A: There are three key components:

1) These funds should be deposited separately from the regular Sabbath offerings

2) The funds should be entered separately into Jewel using a General Journal Entry.

3)  The funds should be posted in a separate account from your local evangelism funds for tracking purposes.

Q: Do we have to send in all our evangelism receipts to the conference?

A: No. 2012 and 2013 appropriations will be reviewed as part of the audit process.  For 2014, the ministerial department requests that "a summary page of expenditures made for 2014 evangelism should be sent in with your 2015 evangelism subsidy request form [along with] an explanation of planned use of any remaining 2014 funding"

Q: If we don't spend all of our evangelism funds, do we need to return the remainder to the conference?

A:  No, but you should include an explanation of planned use of any remaining 2014 funding with your 2015 evangelism request.

Conference Codes

Q:  A donor has specified Global Missions as his donation.  What code do I use?
A:  While there are many "Global Mission" codes--one for each country in which they have a presence--the unspecified Global Missions code is:
     "Global Missions - General Donations"      1567

Q: What is the offering code is for Investment?
A: The code for "Investment" is 1004. It is listed on the Offering Code list as "Sabbath School - Investment."

Download a list of the most utilized conference codes


Adventist Online Giving

Q: Adventist Giving only deposits on the first of the month for the previous month's donations.  If I record them in the month the member sent them in and they are not deposited until the next month, my bank reconciliation will always have an outstanding item.
A: Here is an overview of the guidelines for posting Adventist Online Giving donations:
      1) Post Adventist Online Giving donations by month (not by week)--posting the entire month's donations as one offering deposit
      2) Post Adventist Online Giving donations as a non-Sabbath offering
      3) Post Adventist Online Giving on the last day of the month . . . UNLESS the last day of the month is a Sabbath. . .
              Then, and only then,
                     Post Adventist Online Giving on the last Friday of the month.
                             NOTE:  This must be done before the last-day-of-the-month-Sabbath's offering is posted.

      4) Yes, Adventist Giving will always be an outstanding deposit on your bank reconciliation.

Q: What are steps for entering the Adventist Online Giving individual offerings?
A: The steps are as follows:
(1) At the end of the month go to the Adventist Online Giving site and print the report.
(2) Click on start new offering (this should be the last offering of the month – entered on a non-Sabbath date).
(3) Enter donors and their contributions one by one (using the offering ID# for the check #)
(4) Make deposit (put "April Adventist Giving" or something to that effect in memo line)
(5) This deposit will not appear on the bank statement until the following month. It will always be an outstanding deposit on the bank reconciliation.



Board Reports

Q:  What reports should I be presenting to the Church Board?
A:  The following reports should be presented to the Church Board on a monthly basis:     
           [Or if voted by the Board, to the Financial Committee.]
1)      “Financial Summary – Detail”  Showing most recent month activity
2)      “Financial Summary – Detail”  Showing year-to-date activity
3)      “Reconciliation Report”  For checking account(s), most recent month
4)      “Reconciliation Report”  On a quarterly basis for savings account(s)
5)      “Check Report” For most recent month
6)      “Deposit Report” For most recent month
7)      “Transfer Report” For most recent month
8)            “Contribution  Report – Summary” For the most recent month
          (Note that this is NOT the Detail version of this report listing donors!!)




Church Budget

Q: Does maintenance have to be included in the church budget, or can we operate it separately as we do for other accounts like VBS?  
A: It is totally up to the Church Board (and/or Finance Committee) what should be included in the Church Budget.  In general, the church should budget for expenses that are necessary and reoccurring--such as utilities, janitorial, and Sabbath School supplies--in additional those ministries which the church has voted they want to be funded specifically from the Church Budget donations--such as Women's Minstries, Personal Ministries, etc. In my opinion, maintenance expenses should be part of the budget, as they are a necessary and reoccurring.  However there are many churches who build up maintenance reserves in other ways.

Q: I have to make budget allocations each month, is that normal?
A: Yes, that is normal. Once you put in the amounts that the board voted to be allocated each month, you should only have to click ok when Jewel prompts you to make those allocations each month.


Conference Remittances

Q: My Conference Funds balance is negative. What happened?
A: The most likely cause is a returned check. The net amount will be sent to the conference the following month.

Q: I’m doing my reconciliation and I need to add a new deposit. The problem is that “Tithe” isn’t one of the account options I can choose. What do I do?
A: Tithe must be posted through the offering entry page. If you are reconciling a prior month, you should make the entry in the current month. This way all of the back tithe can be remitted to the conference in the current check.


Donor specified funds

Q: We have a couple in the church who had to make an emergency trip for a funeral.  The pastor asked if we could provide $xxx toward the plane fare and then call upon the congregation to contribute toward this as well.  I'm thinking of using the [benevolence/needy] fund as the source of help and collection and am wondering if any monies received from the members can be tax deductible since it is going to a specific family.
A: Donations to this specific need can be tax deductible to the donors if the church board votes that this is a formal project of the church--a project in keeping with the mission of the church.  Note that the vote must be formal and recorded in the minutes of the church.  If this project receives church board voted approval, then I recommend that you set up a sub account under the "[benevolence/needy]" fund, titled "Plane Fare - Smiths."  If you don't have any account numbers available under the "[benevolence/needy]" account, you may use decimals---i.e. "9501.1"

Q: Are people allowed to give to the church with the intent that the church is going to pay it back out to a certain individual, and get tax credit for it?
A:  No!  In order for donations to be tax-deductible, the donor must surrender control of the funds to the church.  Donors may designate funds which have ALREADY been selected by the Church Board, and the church has a fiduciary responsibility to honor those designations.  But how the church distributes monies from those funds may NOT be donor directed--i.e. the board may have a "Bathroom Renovation Fund" which Mrs. Smith may donate to, but Mrs. Smith may not then direct that her donation buy only pink paint.  I know.  It's a ridiculous example.  But the principle still stands.  Donors may give to the "Love Fund" but may not direct who the money goes to from there.  The Church Board, or a designated committee, should have--or establish--set criteria for distribution, which are applied consistently to all applicants.  It would be considered appropriate for a donor to submit names for consideration, but not for them to remotely manipulate the monies to go a specific person.

Financial Records Retention

Q: How long do we need to keep financial records?
A: Here is an updated schedule outlining how long to keep records.
Correspondence                              3 years
Insurance Policies                            6 years
General Ledgers                              Permanent
General Journals                              Permanent
Cash Receipts                                 6 years
Cancelled Checks                            6 years
Bank Statements & Reconciliations    6 years
Employment Records                       Permanent
Tithe Envelopes                               2 Audit Cycles                         
Church School Minutes                     Permanent
Computer-printed Statements           Until after audit
Computer Backups                          Permanent
Legal Documents                             Permanent
Church Clerk Records                      Permanent



Jewel Questions

Q: Is there a feature to enter more than one envelope for the same donor on an entry date by choosing next envelope as we had in donation accounting?
A: If you have multiple envelopes for the same donor on the same Sabbath,
           1) Enter the first envelope.  
(When you have entered all line items, it should automatically take you to the next, blank Contribution screen.)
           2) Clicking the Up Arrow will return you to the same donor as the envelope you just completed.
(Use the directional arrows in the lower right-hand section of your computer keyboard
           3) Enter the second envelope.
           4) Repeat steps 2 & 3 above until you have entered all envelopes for the same donor.

Q: Is there only one fiscal year-end report in Jewel?  The software prompt had reports, but only the Financial Summary printed.  
A: Jewel is defaulted to print out only one year-end report, a Financial Summary.  You have the option to request additional year-to-date reports at any time.


Q: How should I record a credit balance with a vendor?
Neither accounts payable nor credit balances with vendors are reflected on Jewel.  Most church accounting programs, including Jewel, are cash basis, not accrual, accounting.  There a couple of ways you can handle vendor credits.
1) Request a refund.  When the refund is received, deposit into the bank in a separate, non-Sabbath deposit.  The simplest way to post a non-offering deposit to Jewel is via the "New Entry" in the lower right-hand corner of the Reconciliation page.  You may also post it by going to "Accounting" and "Make a Journal Entry." Be sure to post the refund to the church account which was first charged for the expense.  If the credit is from a prior year the the accounts have been zero-ed out at year-end, then you would post the refund to Church Budget.
2) Wait until future purchases zero out or reverse the credit balance.  

Q: I need to add a direct debit for an order of deposit slips from the bank. It was [3 months ago] and I missed adding the entry. Could you please open [that month] up for me to add it in?
A: I'm always happy to re-open the month just prior to Jewel's current month, but really don't like re-opening a month further back than that.  In this case, presuming Jewel is in July, April is three month's back.  If you are doing the April bank reconciliation, I recommend that you add this April debit through "New Entry"--you'll find it in the lower right-hand corner of Jewel's reconciliation screen.  Entering an old entry in the Reconciliation screen automatically pulls it in as a cleared item during the month you're reconciling, no matter which month Jewel says it's in on the "home" screen

Q: Is it possible to have the accounts appear in alphabetical order on the Financial Statements?
A:  It is possible to "rebuild" your local church accounts, putting them in an order that is easier to follow in meetings.  The easiest way to do this is to go to "Reports and Graphs" and then click on "Accounts".  In the upper right, hit the "copy to clipboard" button.  Paste the account listing into excel, then cut and paste the line items until they are in the order you wish them to be.  Then one of the audit staff can help you with the step of actually redoing your account numbers in Jewel.

Q:  One of our donors is asking me to hold their check. What do I need to do to correct this week's deposit slip and donations?
A: First you can go into reports and graphs, select the "deposit" report in order to see all your deposits. Select the deposit in question by clicking on it, and then click "make corrections". That will take you to your envelope entries and you can delete the one that you need to. You will also need to check the "edit deposit" box and change your total deposit,  or if you use jewel's deposit slip, hit the edit deposit slip button to remove the "held" check from the deposit slip.

Q: Can the financial statement have lines on it, like an excel spreadsheet.
A: There isn't any way to have Jewel print the Financial Summary with lines.  However, it is very easy to export reports to Excel, and there, lines can easily be added to reports.  To export to excel, simply pull up the report, and then click the copy to clipboard button.  Then open an excel document and paste the report into excel.

Q: How should I record the electronic checks in the checkbook?
A: If a check is "converted" to an electronic check by the vendor receiving it, it should be entered the same as any other check.  On the other hand, if it is an automatic bank draft, or a payment using online bill pay, then it should be entered like any other check except that the "electronic payment" box should be checked, which will remove the check number from the entry screen in Jewel.  This will avoid wasting check numbers for entries where a check was not actually used.

Q: How do I void a check if I am still in the month it was written?

A: To void a check from the current month: 

1) go to the check report, select the offending check 
2) select "Edit Check" from the menu to the right of the check-writing form
3) then type "Void" in place of the vendor selected on the "Pay To the Order of" line.

Q: How do I void a check from a closed month?


1) From the main Jewel menu, select "Write Checks"  

2) Date the electronic payment in the month in which you are currently working
3) Make the check out to the same vendor as the original check
4) Enter the original amount as a negative number
5) Allocate to the same accounts as the original check, entering each allocated amount as a negative number
6) In the check-stub area of the check writing form, place a check mark in the box by "Electronic Payment"
**Then when you do the bank reconciliation for the current month:
7) Mark both the old positive check, and the new electronic negative check, as cleared

 Q: How do I reissue a lost check?

A: The best way is to enter a negative electronic check with a memo line reading "To Void Lost Ck #XXXX.  Replaced with Ck #XXXX".  See question immediately above for directions to enter a negative electronic check.

Q: I have one check returned by a vendor because they said we don't owe them that and we also have one check that has been lost by a vendor.  Should I put a stop on the lost check and incur the penalty with the bank and how do I deal with the returned check?
A: Whether it is worth the bank fee to do an official "stop payment" on a check depends on a couple of factors.  
1)If the lost check is a relatively small one--i.e. less than $100
2) Do you know the payee--the "vendor"-- personally, or is the vendor one who routinely receives payments from you--i.e. a utility or the ABC?
If the answer is "Yes" to either of the above questions, it's probably ok to skip doing an official "Stop Payment" with the bank.  However, if the check is a large one, and it's a one-time-type-payment, it may be wisest to request, and pay for, an official "Stop Payment" by the bank.  

If a check has been returned to you because you don't owe it to the vendor--or when a "Stop Payment" has been issued-- you need to reverse the payment from Jewel.  See "How do I void a check from a closed month" above for directions to reverse a prior-period check.

Q: I have transferred $$$ over from First Bank to Second Bank as per board request and made the deposit.
 A: To record this transaction in Jewel go to:
        1) Go to "Transfer Funds" (located just below "Write Checks" on the home screen)
        2) In the memo line type "To record transfer from First Bank to Second     Bank"
        3) In "From Account" put account "First Bank" and record the "Amount" as     $$$
        4) In "To Account" put account "Second Bank" and record the "Amount" as     $$$
        5) Select "OK"

Q: I just received a check from the conference insurance for our damaged roof at the church.  How do I record this deposit?
 A: To record this transaction in Jewel go to:
        1) Click on the small word  "Accounting" (located to the right of "File" in the upper left-hand corner of the Jewel home screen)
        2) From the drop-down menu select "Make General Journal Entry"
        3) In the memo line type "Record ins. ck from GCC for roof damage" (or as much of that as it will let you type!)
        4) In the "Bank Account" put the account number of the bank where you deposit this money
        5) Record "Income" of $$$
        6) Under "Account" put the Local Church Fund/Account where you wish to post this money.
                        *There are several options here.  If the church has repaired the roof damage, or intends to repair the roof damage soon, you should post this income to the account where the expenses have been/will be posted.  This should probably be a Repair and Maintenance account.  If, on the other hand, the church will not be fixing the roof soon, and the Board has not given you guidance as to where to post this money, then you should create an account titled "Insurance Reimbursement - Roof" or something similar.
        7) Again record "Income" of $$$
        8) Select "OK"

Q: How do I record the interest income from the savings account? 
A: My preferred method of recording bank account interest is in the Bank Reconciliation.  To post interest to the savings account
        1) Select "Reconcile"
        2) Left-click on the black upside-down triangle under "Checking Account" (upper left-hand quadrant of the screen),
        3) Select "Savings " from the drop-down menu
        4) Follow steps to reconcile this account, much as you would reconcile your checking account.
        5) To record interest, select "New Entry" in the lower right-hand part of the screen
        6) Select the Local Church Fund/Account to which you post interest, enter amount, the date, and memo
        7) Complete reconciliation as you would the Checking account.  
        8) Select "OK"
        9) Say "Yes" to print report.

Q: I couldn't get my printer to print the reconciliation when I completed it, so I went ahead and clicked ok. How can I retrieve it and print it???
A: Jewel Version 6, which you will soon receive if you haven't already, will allow you to print previous bank recs.  However, these previous bank recs are only certain to be accurate if printed immediately.  

1)To access previous bank recs, click on the "reconcile" button.  

2) Once in the "Bank Reconcilation" screen, there is a "Previous Bank Recs" button immediately above the picture of the lizard.

3) You can then click on the down arrow in the upper left to select which month's bank rec you need, 

4) and then hit the print button.

Unfortunately version 5 does not have this feature.  If you are still using version 5, the best thing to do at this point is to write a note explaining what happened and attach it to the bank statement. That way when we come to audit we will know why there is no bank rec for this month. If you happen to know which checks/deposits are still outstanding this month, or if there were any adjustments you made, that would be good to note as well. 

If this should happen again, one option might be to click "cancel" on the bank rec, but be sure to click "yes" when it asks you if you want to save your work. Then you can go back in again and hit "ok" when your printer is working.


Q: During this month's offering entry, I entered the Sabbath school donation to the conference Sabbath School instead of local Sabbath School. How do I correct that entry in Jewel?  

A: If it was during this month you can easily go back to that offering entry and edit that account allocation. 

1)To find the entry, go to "Reports & Graphs", then to the  "Contribution" report.  

2) Change both date fields to the Sabbath it was entered and locate the entry on the report.  

3) Click on the entry.  This will take you back to that specific envelope in the "contribution entry" screen.  

4) Once there, click "edit envelope" 

5) and change the account to the local Sabbath School account.

Q:  How do I change an account designation for a donation from a closed month?

A: There are two ways to do this.  1) Contact the auditor and request it to be fixed.  This must be done if the item is from a previous calendar year.  2) Follow the instructions below.  These instructions reverse the original entry and add a new correcting entry in the current month.  This will show up on the donor's receipt as a negative entry reversing the incorrect entry, and a regular, positive offering entry as the correct entry.

1) Click on "start new offering"

2) Change the date to a non-Sabbath date prior to the next Sabbath date you need to enter into jewel.

3) Enter the deposit amount as $0.00

4) Hit ok.  A screen will pop up asking if you really want to enter a $0.00 offering?  Say yes.

5) Enter the first envelope, using the same donor as the original entry, and enter the same amount as the amount originally designated, except make the amount negative.

6) Choose the same account as originally designated, and enter the original amount as a negative number again.

7) Click on the "new envelope" button.

8) Enter this envelope with the same donor, and enter the amount normally, as a positive number.

9) Select the account the offering needs to be posted to, and enter the amount.

10)  The "offering matches..." box should automatically pop up asking if you're ready to make deposit.  Click yes and make deposit as normal.  

Q: I have to make budget allocations each month, is that normal?

A: Yes, that is normal. Once you put in the amounts that should be allocated each month, you should only have to click ok when Jewel prompts you to make those allocations each month.

Q: What is the rule about adding new accounts in Jewel?
A: As a general rule, the treasurer should not add or delete any accounts without input from the finance team/church board, since the church board is the governing body of the church. However, it would be acceptable for the board to vote to let you (the treasurer) decide what new accounts are needed. Then as they review the financial report each month, they will be able to see any changes you have made and give you feedback if needed.

Q: Is there a way I can roll this budget over to next year?
A: Yes.  Be sure to do the following BEFORE you close the year:

1) Select "Maintenance" [from the top of your Jewel "home" screen]
2) Select "Edit Budget Allocations"
3) From the "Budget Year" shadow box in upper left quadrant of the "Edit Budget Allocations" screen, select "Copy from This Year to Next Year"

You can then select "Next Fiscal Year (201X)" and either simply look it over to make sure the numbers copied over, or actually make any necessary changes to the coming year's budget.



Sales Tax Exemption

Q: Up until 2 years ago we held a Sales Tax Exemption status in the states of Tennessee and Georgia.  We had used the documentation from the GC establishing us as a 501(C3) non-profit organization.  When we received a notice that our certificate had expired I gathered up the same type of information, went to the sales tax office and was told they would not renew the certificate.
A:  The State of Tennessee does grant sales-tax-exempt status to churches, the State of Georgia does not



SURF Transfers

Q: The church board voted to transfer $5000 from our checking acct to the SURF Saving acct. I understand I just write a check and send to the Southern Union Revolving Fund.  How do I record this transaction?
A: Note that this transfer from your checking account to SURF only affects your asset (bank) accounts; it does not--and should not--affect any allocation of local church funds.  The money in building fund should still be reported in building fund.  You are only moving the money from one bank to another "bank."
When you record the check, go to "Write Checks." Be sure you complete the Jewel check form as follows.  Note: The underlined items below are what you will be typing in.
      Go To: “Write Checks”
Pay to the Order of:   Southern Union Revolving Fund            $: 5,000
                                Memo:   Per Board vote, to transfer $'s from Cking to SURF
 Then, in the check-stub portion of check form . . .
                             Account:   Surf Savings                    Amount: 5,000
When you click on "OK" in the upper left-hand corner of the check form, a message will pop up asking if you really want to transfer the funds from checking to another bank account.
                                  Select "Yes."


 Q: The church board voted to transfer $5000 from SURF back to our CHECKING Account.  SURF sent us a check and I deposited it into our checking account.  Now how do I post that to Jewel?

A: To record the money being moved from the church SURF account to the church CHECKING account, do the following:

       1) Select "Transfer Funds" [you'll find this on the main screen where it says "Jewel" in red

       2) In the "Memo" line, write "Transfer SURF to Cking; per mm/dd/yyyy Brd Vote" [be sure to include the date of the church board vote approving the transfer!]

       3) "From Account" is SURF Savings [the bank account]

       4) Record the amount of the transfer

       5) "To Account" is the Checking Account

       6) Record the amount of the transfer

       7) Select "OK" in the upper right hand corner of the screen

Tax Deductible Receipts

Q:  How do I give a tax-deductible receipt for donated labor?
A: Donated labor is not tax deductible.
 IRS Publication 526 states:
 "You cannot deduct the value of your time or services, including: The value of income lost while you work as an unpaid volunteer for a qualified organization."

Q: A member donated his computer to the church and is wondering if he can get tax credit for the donation.  He provided us with a copy of the receipt from his purchase in 2006. 
A: The bigger question is, "When and How does one receipt donations that are not money?"  The rule of thumb for posting donations is:  If a donation does NOT increase your bank account, do NOT post it to your church accounting software (exceptions are gold, silver, stocks, bonds, and other easily liquefied investments.  These should be sold immediately following the donation, then deposited into the bank account and posted to the church accounting software).  The following are some common examples I have encountered.
   Example 1:  Someone donates a computer to the church (as in the question above).  Should you post this to your church books?  NO.
                           Per IRS guidelines, the donee [church] must give the donor a receipt containing the following information. . .
                             a) The [Church] Name
                             b) The Date and Location of the contribution
                             c) A detailed description of the property--make, model, age--sufficient detail to identify the item donated.

A thank you letter, printed on church letterhead, containing the information detailed above, is a perfect receipt. As noted below, the church should not put any dollar-value       in this thank you letter.

NOTE: Per IRS guidelines, it is the donor's responsibility to keep reliable written records regarding the cost or fair market value of the item donated, as well as a description, name of church, and date of donation. Bottom line: It is the donor who determines the value they will deduct, NOT you!  Don't put any value in the thank-you letter, for then it will look like you are expressing your opinion on what that value is.

Example 2:  The Cradle Roll leader spent $359 on Sabbath School materials. She brings you the receipts, saying she doesn't want reimbursement, but does want a tax-deductible receipt for these purchases.     
This scenario may be treated exactly the same as the above situation.  However, another option here, is to have the Sabbath School leader turn in the receipts for reimbursement, after which she is welcome to donate the funds back to the church. Encourage your members to cash checks received from the church.  If they tell you they don't intend to cash a specific check, request that the recipient void the check and return it to you for your records.  This can prevent old outstanding checks sitting on your bank reconciliation "forever."

Example 3: Someone provides a service to your church-- i.e. roofing, secretarial, tax consulting,  legal advice, etc.  They don't want you to pay them for their services, but instead request a receipt for their donated services, so they can file it with their income taxes.

  IRS Publication 526 states:
 "You cannot deduct the value of your time or services, including: The value of income lost while you work as an unpaid volunteer for a qualified organization." 

 Therefore, no receipt should be given them since the donated labor is not tax deductible.

Q:  I have the understanding that the only receipt that the IRS would accept if they audited was the detailed one. Is this so?
A: The IRS requires that a receipt 1) show the name of the donee organization [your church], 2) the date of the contribution, and 3) the amount of the contribution.  For donors who write checks, Jewel's Summary Receipt fulfills all of these requirements, since it lists all checks received from the donor, giving date, amount, and check number.  For donors who put cash in their tithe envelope, only Jewel's Detailed Receipt satisfies these requirements.

Q:  Are donations made to the church for a cash gift for the pastor tax deductible?
A: No, gifts donated to the church for the pastor are not tax deductible.

Q: Can Jewel give you an option to choose tax-deductible or not tax-deductible for each receipt/contribution entry?
A: You can choose whether an account is tax deductible or not.  For instance, money received for Pathfinder dues or Devotional Books should not be tax deductible, since a direct benefit is received for the money given.  You can select tax deductible status for an account in:
    1) "Maintenance"
    2) "Edit Accounts"
To change the status of an already existing account
    3) Place a check mark in the "Account Info 'Edit' box" [located at the middle top of the screen]
    4) Place [or remove] check mark from the box in front of "Tax Deductible"--which then determines the tax deductibility of that account.
To add a new account that is not tax deductible
    3) Select "Add New Account"
    4) Complete as usual, being sure to uncheck the box in front of "Tax Deductible"
           (Note: The default status of a new account is "Tax Deductible."