QBuxBox Self Help Tutoria l- Personal Finances

U N D E R     C O N S T R U C T I O N ------ Contact me at  Jim@bcidot.org  for more info ---- Viewed: February 26, 2011

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                           - - - Rejoice in the Lord always ... again I say Rejoice !!! - - -

http://www.bcidot.org  links eEnvelopes HOME  | :  ABOUT  US   |    eEnvelopes Purpose   |   SITEMAP   |   MFTeam HELPS


                          TO:  Interested Christians                                                                                                              FROM: Jim Bramer, Retired CPA-Auditor
                                                                                                                                                                                         FILE:  qbuxbox/blvr 

                          RE:  eEnvelopes QB "Hands On" Tutorial                                                                                  Originated in August 2004               


           PREFACE

    When you go to  0400  you will find more info why we strongly advocate that Christians (BLVRs) utilize the eEnvelope Spending Plan method as an alternative to the usual line item budget process; or upon receipt, money is placed into electronic Envelopes, or eEnvelopes.  If there is a balance in the applicable eEnvelope you can buy using Checks or Credit Cards; of course, the eEnvelope balance is reduced as soon as possible as a result of this purchase.
    The same basic Ministry help principles found within  0079  and  0100   apply to Christian families. The content of  0916  might apply.  Feel free to contact me at jim@bcidot.org  if you have questions.
  To remind you .... contact me if you would like this web page as a Word Doc      

    Below is a list of numbered steps by named topics.  Please click the number below and go to the topics of interest to you.

  1. Preliminaries
  2. "Set Up
  3. "Chart of Accounts
  4. "Opening Entries as of 7-31-04
  5. "Sample Fiscal Report as of 07-31-04
  6. "Semi-Monthly Transaction Detail
  7. "Semi-Monthly Fiscal Reports per Data Belowl
  8. "Tranx Detail Report for period 07-31-04 through 09-30-04

- #1 -

Preliminaries

    Once you have read the contents of 0400, you will have a flavor of what this eEnvelope system and process involves.  Below are the supposed steps of a Dad/Mom with kids not in college that walk you through transactions beginning 07-31-04 through two half months ending 09-30-04.  You will  not be recording each of the QB deposits or needing to write each sample QB check or record each sample Credit Card transaction; as we will recap these by time period.  The objective of this process is for you to get the idea of the structure and transaction result of this system so below I will provide you with QB Journal Entries which will be a recap of the applicable transactions for that time period. 
    We are using the QBPro2003 version as I reference the TABs, and resultant choice options, appearing across the top of the QB System screens.  It will seem a little awkward if you are using an earlier QB version, but you should be able to interpret. 
    If you do not own the QB software, I suggest that you print out these instructions and locate a QB user so you can begin a new file Company and use their software to go through this process.  Since QB is so widely used, any business may be using this product and you possibly go to their computer and open up a brand new QB Company within their system and follow these instructions.  If you feel you need to get a copy of the QB software, please be aware that you do not need the current version.  The QBPro2001 version is more than adequate ... such versions out on www.ebay.com  are very reasonably priced. 
CAUTION:  Upon purchase make sure you have the Key code and the Registration Number or you will not be able to install or completely use the software.   

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- # 2 -

 Set Up

    Setup and transaction processing instructions for this particular QB Company follow:   
    Go to the FILE tab and Choose "New Company" and go through the 'Easy Step Interview:" click Next; answer Next to "Do you need assistance, etc", Skip Interview; type in Company name as "eEnvelopes Sample." leave everything else blank in "Creating New Company" except show January as the 1st month of fiscal year.  Click Next; choose "no type"" and click Next and then Save in the next window.  Clean out everything else until you can locate the following tabs and do the following: 

EDIT:    Preferences; Goto "Accounting," only and "Company Pref" - use account numbers and click OK
VIEW:  Click and remove icon bar
LISTS:  Choose "Chart of Accounts" and you will see some three QB produced accts.  Choose Account option at lower left; then via "edit" go to each and rename them to say: "N/A-Do not use."

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- # 3 -

 Chart of Accounts

 Input the following "Chart of Accounts" within LISTS above - note the indicated "sub" accounts as you do your structuring.    

QB Type

Nbr

      Name

Bank 10-ABC Bank Accounts
Bank sub 11-Assigned to Credit Card Payment (1)
Bank sub 12-Avail for Envelope Balances below
Other Asset 19-CrCard Buffer or Float Acct
Credit Card 22-Due to XYZ CrCard Company
Equity eEnvelope Spending Balances
Equity sub 31-For Church Donations
Equity sub 32-Life Style Costs (2)
Equity sub 33-Mortgage Due 5th of Month
Equity sub 35-UpComing Events
Equity sub 36-To Pay Off Old Debts
Equity sub 40-For Discretionary Purposes
Equity 3900 - Do Not Use - Retained Earnings
Equity 95-00-N/A Do not use (4)
Equity 99-01-N/A Do not use (4)

  (1)  It seems to help you as you administer this system to know how much of the total balance is committed to monthly paying off the Credit Card Balance.
  (2)  Please Click Here and link to more explanation of this account.
  (3)  This is a 'catch-all' account that covers a variety of purposes;  I recommend that you only add more if/when you need more detailed spending controls.
  (4)   Such accounts automatically come up within the QB software and are so annotated.

     I suggest that you print out a hard copy of this Chart of Accounts for reference as you carry out the next steps within this tutorial.    

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- # 4 -

 Opening Entries as of 07-31-04

    OK ....  now that you have these set up you should go next to your tab called  BANKING: MAKE JOURNAL ENTRY  and input the following Journal Entry.    You will note that the 07-31-2004 Journal Entry below is a part of the entire Journal entries found when you Click Here.  Please note that the Acct Nbr tie into the above two digit numbers appearing within the above Chart of Accounts.

Acct      
Nbr Info              7/31/2004
  Debit

    Credit 

19    $1,600.00  
32      $1,600.00
Direct Deposit of Net Pay
12 Dad  $1,510.89  
12 Mom            N/A  
31      $   300.00
32      $     10.89
33      $1,200.00

      If you desire, you can use the EDIT copy and paste features and place repetitive explanation in the Memo Column, etc.

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- # 5 -

      Sample Fiscal Report as of 07-31-04

      Plse go to the REPORTS: Company and Financial: Balance Sheet Standard; make sure you use the 07-31-04 date.  Working from the MODIFY REPORTS tab content then:  Choose Header/Footer tab and change the "Report Title" only to read "Fiscal Report" and click OK.  MEMORIZE into a Group where you can find later.  Providing you have set up and entered the Journal Entry properly within the QB file,  this report should look pretty much like the following.  Please Note --- Click Here for more Whole Dollar info,  I told the QB system to do whole dollar reporting only - let me know at  Jim@bcidot.org  if this is of interest to you. Other reports within this tutorial will show the pennies, etc.

        Jul 31, 04
ASSETS      
  Checking/Savings  
    10 � ABC Bank Accounts  
      12 � Avail for Envel Balances Below 1,511
    Total 10 � ABC Bank Accounts - 1,511
  Other Assets  
  19 � CrCard Buffer or Float Acct 1,600
Total Other Assets 1,600
TOTAL ASSETS 3,111
LIABILITIES & EQUITY  
Equity      
  30 � Spendable Envelope Balances  
    31 � For Church Donations 300
    32 � For Life Style Costs 1,611
    33 � For Mortg Payment due 5th of Next Month 1,200
  Total 30 � Spendable Envelope Balances 3,111
TOTAL LIABILITIES & EQUITY 3,111

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- # 6 -

Semi-Monthly Transaction Detail

       The Information below provides you with transaction data for this tutorial.  Note that you have already posted and proofed the 07-31-04 activity per Steps #4 and #5 above.  After you have printed this out, you can now take the following steps:

A> Go to your QB Journal Entry area and, using as many separate Journal Entries therein as you see fit, please enter the 08-15-04 Activity below.  The 08-15-04 Fiscal Report report should have the same numbers as that shown by the Step 7 below.
B>  If OK, then process the 08-31-04 data below and prove to the
Fiscal Report shown at Step 7 below.
C>  If OK, then process the 09-15-04 data below and prove to the Fiscal Report shown at Step 7 below
D>  If OK, then process the 09-30-04 data below and prove to the Fiscal Report shown at Step 7 below
E>  If not OK, then digest the Transaction Details for the entire period as found at Step 8 below and make the applicable corrections.

Acct       Acct   Acct   Acct     Acct    
Nbr Info    7/31/2004 Nbr    8/15/2004 Nbr    8/31/2004 Nbr    9/15/2004 Nbr    9/30/2004
  Debit Credit    Debit Credit    Debit Credit    Debit Credit    Debit Credit
                             
19    $1,600.00     N/A     N/A     N/A     N/A  
32      $1,600.00                        

Semi-Monthly Direct Deposit of Net Pay

Acct       Acct   Acct   Acct     Acct    
Nbr Info    7/31/2004 Nbr 

  8/15/2004 

Nbr    8/31/2004 Nbr    9/15/2004 Nbr    9/30/2004
12 Dad  $1,510.89   12  $1,400.00   12  $1,900.00   12  $1,700.00   12  $1,300.00  
12 Mom      N/A   12  $   870.00   12  $   750.00   12  $   870.00   12  $   750.00  
31      $   300.00 31    $   300.00 31    $   300.00 31    $   300.00 31    $   300.00
32      $     10.89 32    $   620.00 32    $1,000.00 32    $   920.00 32    $   400.00
33     $  1200.00 33      None 33   $ 1,200.00 33     None 33   $ 1,200.00
35       35    $   150.00 35    $   150.00 35    $   150.00 35    $   150.00
36       36    $1,200.00 36     None 36    $1,200.00 36      None

                              Paid by Check on the 5th of the Month

Acct       Acct   Acct   Acct     Acct    
Nbr Info    7/31/2004 Nbr    8/15/2004 Nbr    8/31/2004 Nbr    9/15/2004 Nbr    9/30/2004
22    N/A       N/A       N/A       22  $1,498.27      N/A   
11                      11    $1,498.27      
33         33  $1,200.00      N/A       33  $1,200.00      N/A   
12         12    $1,200.00          12    $1,200.00      

         AllElse Paid by Check during the Semi-Month Period

Acct       Acct   Acct   Acct     Acct    
Nbr Info    7/31/2004 Nbr    8/15/2004 Nbr    8/31/2004 Nbr    9/15/2004 Nbr    9/30/2004
31    N/A       31  $   300.00      31  $   300.00     31  $   300.00     31  $   300.00  
32          32  $   276.76      32  $   223.41     32  $   401.76     32  $   388.09  
36          36  $1,200.00      $          -       36  $1,200.00      $          -    
12          12    $1,776.76    12    $   523.41   12    $1,901.76   12    $   688.09

          Credit Cards Purchase during the Semi-Month Period

Acct       Acct   Acct   Acct     Acct    
Nbr Info    7/31/2004 Nbr    8/15/2004 Nbr    8/31/2004 Nbr    9/15/2004 Nbr    9/30/2004
32    N/A       32  $   753.49     32  $   744.78     32  $   817.03     32  $   724.68  
22          22    $   753.49   22    $   744.78   22    $   817.03   22    $   724.68

           Reassign Bank balance because of Credit Cards commitment

Acct       Acct   Acct   Acct     Acct    
Nbr Info    7/31/2004 Nbr    8/15/2004 Nbr    8/31/2004 Nbr    9/15/2004 Nbr   9/30/2004
11    N/A      11  $   753.49     11  $   744.78     11  $   817.03     11  $   724.68  
12         12    $   753.49   12    $   744.78   12    $   817.03   12    $   724.68

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-  # 7 -

Semi-Monthly Fiscal Reports per Date Below:

The net effect of having Semi-Monthly Fiscal Reports for each period is shown in the grid as set forth  below.

        7/31/2004 8/15/2004 8/31/2004 9/15/2004 9/30/2004
ASSETS              
    10 � ABC Bank Accounts          
      11 - Assigned to CrCard Paymt  $          -    $   753.49  $1,498.27  $   817.03  $1,541.71
        12 - Avail for Envel Balances Below  $1,510.89  $     50.64  $1,432.45  $     83.66  $   720.89
    Total 10 � ABC Bank Accounts  $1,510.89  $   804.13  $2,930.72  $   900.69  $2,262.60
    19 � CrCard Buffer or Float Acct  $1,600.00  $1,600.00  $1,600.00  $1,600.00  $1,600.00
TOTAL ASSETS  $    3,110.89  $    2,404.13  $    4,530.72  $    2,500.69  $    3,862.60
LIABILITIES & EQUITY          
    22-Due to XYZ Cr Cards  $          -    $   753.49  $1,498.27  $   817.03  $1,541.71
  30 � Spendable Envelope Balances          
    31 � For Church Donations  $   300.00  $   300.00  $   300.00  $   300.00  $   300.00
    32 � For Life Style Costs  $1,610.89  $1,200.64  $1,232.45  $   933.66  $   220.89
    33 � For Mort Paymt due 5th of Month  $1,200.00  $          -    $1,200.00  $          -    $1,200.00
      35 - For Upcoming Events  $          -    $   150.00  $   300.00  $   450.00  $   600.00
    Total 30 � Spendable Envelope Balances  $3,110.89  $1,650.64  $3,032.45  $1,683.66  $2,320.89
TOTAL LIABILITIES & EQUITY  $    3,110.89  $    2,404.13  $    4,530.72  $    2,500.69  $    3,862.60

 

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- # 8 -

Tranx Detail Report for period 07-31-04 through 09-30-04

    The result of all of processing the above tranx within the QBooks software appears below:

    Type   Date   Num   Debit   Credit   Balance  
10 � ABC Bank Accounts                        
  11 � Assigned to Credit Card paymt                        
    General Journal   08/15/2004   6   753.49       753.49  
    General Journal   08/31/2004   10   744.78       1,498.27  
    General Journal   08/31/2004   12       1,498.27   0.00  
    General Journal   08/31/2004   12   817.03       817.03  
    General Journal   09/30/2004   13   724.68       1,541.71  
  Total 11 � Assigned to Credit Card paymt             3,039.98   1,498.27   1,541.71  
    12 � Avail for Envel Balances Below                        
    General Journal   07/31/2004   2   1,510.89       1,510.89  
    General Journal   08/15/2004   3   1,400.00       2,910.89  
    General Journal   08/15/2004   3   870.00       3,780.89  
    General Journal   08/15/2004   4       1,200.00   2,580.89  
    General Journal   08/15/2004   5       1,776.76   804.13  
    General Journal   08/15/2004   6       753.49   50.64  
    General Journal   08/31/2004   8   1,900.00       1,950.64  
    General Journal   08/31/2004   8   750.00       2,700.64  
    General Journal   08/31/2004   9       523.41   2,177.23  
    General Journal   08/31/2004   10       744.78   1,432.45  
    General Journal   08/31/2004   12       1,200.00   232.45  
    General Journal   08/31/2004   12       1,901.76   -1,669.31  
    General Journal   08/31/2004   12       817.03   -2,486.34  
    General Journal   09/15/2004   11   1,700.00       -786.34  
    General Journal   09/15/2004   11   870.00       83.66  
    General Journal   09/30/2004   13   1,300.00       1,383.66  
    General Journal   09/30/2004   13   750.00       2,133.66  
    General Journal   09/30/2004   13       688.09   1,445.57  
    General Journal   09/30/2004   13       724.68   720.89  
  Total 12 � Avail for Envel Balances Below             11,050.89   10,330.00   720.89  
  Total 10 � ABC Bank Accounts             14,090.87   11,828.27   2,262.60  
  19 � CrCard Buffer or Float Acct                        
    General Journal   07/31/2004   1   1,600.00       1,600.00  
Total 19 � CrCard Buffer or Float Acct             1,600.00   0.00   1,600.00  
  22 � DuetoXYZ CrCard Co                        
    General Journal   08/15/2004   7       753.49   -753.49  
    General Journal   08/31/2004   10       744.78   -1,498.27  
    General Journal   08/31/2004   12   1,498.27       0.00  
    General Journal   08/31/2004   12       817.03   -817.03  
    General Journal   09/30/2004   13       724.68   -1,541.71  
Total 22 � DuetoXYZ CrCard Co             1,498.27   3,039.98   -1,541.71  
  30 � Spendable Envelope Balances                        
  31 � For Church Donations                        
    General Journal   07/31/2004   2       300.00   -300.00  
    General Journal   08/15/2004   3       300.00   -600.00  
    General Journal   08/15/2004   5   300.00       -300.00  
    General Journal   08/31/2004   8       300.00   -600.00  
    General Journal   08/31/2004   9   300.00       -300.00  
    General Journal   08/31/2004   12   300.00       0.00  
    General Journal   09/15/2004   11       300.00   -300.00  
    General Journal   09/30/2004   13       300.00   -600.00  
    General Journal   09/30/2004   13   300.00       -300.00  
  Total 31 � For Church Donations             1,200.00   1,500.00   -300.00  
    32 � For Life Style Costs                        
    General Journal   07/31/2004   1       1,600.00   -1,600.00  
    General Journal   07/31/2004   2       10.89   -1,610.89  
    General Journal   08/15/2004   3       620.00   -2,230.89  
    General Journal   08/15/2004   5   276.76       -1,954.13  
    General Journal   08/15/2004   7   753.49       -1,200.64  
    General Journal   08/31/2004   8       1,000.00   -2,200.64  
    General Journal   08/31/2004   9   223.41       -1,977.23  
    General Journal   08/31/2004   10   744.78       -1,232.45  
    General Journal   08/31/2004   12   401.76       -830.69  
    General Journal   08/31/2004   12   817.03       -13.66  
    General Journal   09/15/2004   11       920.00   -933.66  
    General Journal   09/30/2004   13       400.00   -1,333.66  
    General Journal   09/30/2004   13   388.09       -945.57  
    General Journal   09/30/2004   13   724.68       -220.89  
  Total 32 � For Life Style Costs             4,330.00   4,550.89   -220.89  
    33 � For Mort Paymt due 5th of Month                        
    General Journal   07/31/2004   2       1,200.00   -1,200.00  
    General Journal   08/15/2004   4   1,200.00       0.00  
    General Journal   08/31/2004   8       1,200.00   -1,200.00  
    General Journal   08/31/2004   12   1,200.00       0.00  
    General Journal   09/30/2004   13       1,200.00   -1,200.00  
  Total 33 � For Mort Paymt due 5th of Month             2,400.00   3,600.00   -1,200.00  
    35 � For Upcoming Events                        
    General Journal   08/15/2004   3       150.00   -150.00  
    General Journal   08/31/2004   8       150.00   -300.00  
    General Journal   09/15/2004   11       150.00   -450.00  
    General Journal   09/30/2004   13       150.00   -600.00  
  Total 35 � For Upcoming Events             0.00   600.00   -600.00  
    36 � To Pay off Old Debts                        
    General Journal   08/15/2004   3       1,200.00   -1,200.00  
    General Journal   08/15/2004   5   1,200.00       0.00  
    General Journal   08/31/2004   12   1,200.00       1,200.00  
    General Journal   09/15/2004   11       1,200.00   0.00  
  Total 36 � To Pay off Old Debts             2,400.00   2,400.00   0.00  
  Total 30 � Spendable Envelope Balances             10,330.00   12,650.89   -2,320.89  
TOTAL               27,519.14   27,519.14   0.00  
                           

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           Please Click Here for a list of eEnvelope writings on www.bcidot.org.  Feel free to contact me if you have questions or comments..   Please Click Here for a list of "How we help Onliners" here at www.bcidot.org.   UPTD: February 26, 2011 .       

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