Odd Business Type

I am sure someone will suggest 50 separate bank accounts...

The person I'm working for doesn't want to set up separate bank accounts for each group, for accountability reasons, etc. I could set up separate bank accounts in QB for each group, but then it would be really difficult to reconcile statements, etc., since we only have one physical chequing account.

Thanks for your help!

One income account, many "classes."

This is something QB does well. When you make the deposit, there will be as many lines to the entry as you have associations. The deposit will equal the whole amount. You will be able to print a report to see the income and expenses (if you also code each check written to its appropriate class) by class which will show the net of income and expense.

With all due respect to Joanne who has made some valid sugestions, I submit that this is indeed possible in QuickBooks but is probably beyond the scope of a Newsgroup discussion. In any event the exact solution would probably require a lot more information from you. You may want to research how QB handles "trust accounts" as part of your solution.

I looked into using separate classes as Joanne suggested, and this seems to be exactly what I'm looking for!

There are still just a couple of things I'd like to clarify. First, Joanne suggested using one line (on the deposit entry) per association when we distribute their initial amounts. Unfortunately, we receive one big lump sum, and have to divide it up ourselves. Is there any way to receive a large lump sum payment, and then distribute it later among classes? If not, I can just wait to record the deposit in QB until we know exactly how much will go to each class.

Second, is there a particular way you suggest I should set up my income and expense accounts? Should I have a separate income and expense account for each association, or separate expense accounts for types of expenditures rather than associations (i.e. phone bills, office supplies, etc. - general accounts to which all associations' office supply purchases will go)? Or does it really just come down to preference?

I'm a bit new to QB, and I'm trying to do something off the beaten path, so I really do appreciate all your help!

You can omit the split when recording the deposit and change the entry when you have the detail. This is the beauty and the danger of QB.

No; this is what "classes" does. One income account, many classes.

or separate expense accounts for

One expense account per expense category such as "office supplies", "telephone", and many classes. You'll have to see a P&L by Class to appreciate the reason why.

This is not unique. The smartest thing you could do in the set-up phase of QB is to have someone who is knowledgeable in both QB and accounting involved. This is the critical time when you can set it up to result in a mess with which you will wrestle forever or set it up to run like a dream and enable it to give you the clean, correct reports you will ultimately want. The cost for this initial consultation should not be high and is an investment. Unlike the expectation the ads would have you believe, QB is only as good as the user's depth of understanding of accounting and understanding of the software and it's potential for application.

This is why you are a good writer and I'm not. "Beyond the scope of a newsgroup discussion", is the most I'm willing to say. In any event 99.999% of all QB users are either unable or unwilling to pay a consulting fee for help so why bother to bring it up?

They had the money to buy the software; the consultation makes the difference in whether they spent that money wisely or not.

I always think of my violin when I read a post by someone who is struggling with QB out of a limited understanding of accounting and the power of the software. I spent the money on the instrument and didn't have a clue of the basics. Maybe I hoped I would just figure it out since I only wanted it for my own enjoyment and Vanessa Mae makes it look easy. But there isn't a hope of figuring out a violin if you don't know how to correctly hold it or the bow. There are really basic things that, for me, a demonstration by a teacher changed my use from a frustrated quitter to someone who can make an occasional sweet sound occur. The time for the basics on the violin is immediately; bad habits are more difficult to overcome because they begin to feel comfortable but those bad habits limit the next level of achievement.

I'm not sure I agree with the theory that almost all QB users can't or won't seek professional assistance. But if it is true, suggesting it and explaining the benefits may be the seed for such a decision. On rec.pets.birds there are many new posters who are looking for a diagnosis and treatment for a sick bird. The regular posters always insist that the bird be taken to an avian vet; there is no other option; it's a broken record. Any newsgroup can spot hopelessness beyond the scope of the group's help. I understand why QB advertises the product as the answer for everyone to "do it yourself." It's all about sales. More discussion here about getting professional help may be read by those considering the product before the purchase.

Very, very well put. Your explanations are really good and helpful.

However, there are those who apparently have determined NOT to be helpful. Please ignore them.

John

Joanne's analogy is missing one major point and thats the price of the fiddle. I'm sure the willingness to to pay for lessons varies when one purchases a 10 dollar fiddle and that of one for 1,000 dollars or more.