We had a bad financial report last month due to a high expense ratio caused by gifts in kind. If we book the gifts the month of the event, it evens out, but if we don't get the paperwork until later (as often happens, especially when the event is late in the month) we have to book it the following month and it can be a killer.

Our accounting department will not let us book GIKs as pledges, which would allow us to put the gift in the month when the event takes place. They also do not want us using a different GL Post date than Gift Date. Again, if we could make the gift date the month the event happens and just make the GL post date the month the paperwork comes, we would be okay.

However, our Accounting deparment has shown a willingness to bend if we can prove that the industry standard best practice is something different than what they personally prefer.

So, how does YOUR organizations book a gift in kind? Pledge, different gift date than GL date, or just suffer the consequences if the paperwork comes in late? Can't wait to hear your answers. Thanks!

Honestly - not sure I am right on this but we rarely even book GIKs. Especially those that are for events like auction items. It is ridiculous to book them and then record the sale in finance. It is much easier that way.

I would not limit your audience for this question to just BB users. Since this is a basic gift processing/acocunting question, a better audience would be the gift processing forum at fundsvcs.org. There it does not matter the platform since this issue would impact all the same.

Interesting. That is another option we discussed - not booking them. Do your donors still get an acknowledgement for their taxes?

I will look at that website - never heard of it before but sounds like a gold mine. Thanks as always for your help melissa.

They go in RE but not posted to Finance.

Interesting......very interesting.......

You may want to call your local Nonprofit Association to ask this question, as well. I'm not sure if the Michigan Nonprofit Association has a help desk, but if your organization are members, or even if not, they will probably be very helpful in leading you to an answer.