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Due to COVID19 I sent 3 emplyees their payroll by Zelle. I onlu sent the net amount. The payroll checks were deposited in the church bank account. I really did not think thru the process cause now I am lost on how to account for the activity. Does anybody have any suggestion?

FirstMOBC wrote: ↑

Wed Jul 06, 2022 9:05 pm

Due to COVID19 I sent 3 emplyees their payroll by Zelle. I onlu sent the net amount. The payroll checks were deposited in the church bank account. I really did not think thru the process cause now I am lost on how to account for the activity. Does anybody have any suggestion?

OK ... what do you mean by 'deposited in the church bank account' ?? Do you mean the funds were debited from the account directly?

How did you account for the funds in Powerchurch? Did you use manual checks? Please give more explanation on how you did the payroll.

I did process the payroll thru the payroll module but because of check signers that have covid-19 I zelle the net amount to each employee. So when the counters made the deposit they deposited the paper payroll checks into the bank account. Which increase our bank account but the bank also decrease the bank account clear the paper checks. So now I have the payroll in the system and I also need to process the Zelle amount that was sent to the employees. I hope this is clearer.

FirstMOBC wrote: ↑

Thu Jul 07, 2022 10:32 pm

I did process the payroll thru the payroll module but because of check signers that have covid-19 I zelle the net amount to each employee. So when the counters made the deposit they deposited the paper payroll checks into the bank account. Which increase our bank account but the bank also decrease the bank account clear the paper checks. So now I have the payroll in the system and I also need to process the Zelle amount that was sent to the employees. I hope this is clearer.

Not at all ... why did anyone 'DEPOSIT' checks in the first place? They should not have been deposited, they should have been voided, then reissued as MANUAL checks using the same check number. That accounts for the EFT payroll and eliminates any issue with paper checks.

What you should do now is:

1. REMOVE any amount that was deposited from CONTRIBUTIONS income and move it to Miscellaneous income. FWIW ... it should not be listed as income at all as its money that never left the church.

2. Create MANUAL CHECKS for the payroll amounts sent through Zelle. I'm assuming that you already posted the PAYROLL information so the tax amounts are correct. In which case creating the manual checks would take care of the rest.

Remember ... if you can't get check signers to sign checks for whatever reason, DO NOT deposit the checks back into the system. VOID the checks unless they can wait until someone can sign.

All that said, I'm guessing that someone finally signed those checks, and the employees countersigned them over to the church. Really, the first thing you should think of in cases like this is to VOID VOID VOID. This insures that the system reverses all previous actions, and you don't have to worry about having to get signature, countersigning, etc, etc, etc

Thank You I see the deposit of the checks and then the bank debit the bank account for the checks after the deposit so no income to account for, because it left a 0 effect of the activity. So now I know how to handle any furture EFT's . I have not posted payroll. So I can still void and enter checks manually,