QB for Non Profit (church) Balance sheet by class report shows many unclassified accounts.

Hello, Lou_E.

Thanks for posting your concern here in the Community. I've got some details about the Unclassified column on the report. 

It's possible that you have bill payments, transfers, checks, or payroll transactions that involve class fields. They will reflect as "Unclassified". You should open each transaction and classify them.

1. Go to Reports and choose Company & Financial.
2. Select Balance Sheet by Class.
3. Click on the amount in the Unclassified amount.
4. Look for transactions, such as checks, transfers, etc.
5. Click each of them and select a class.
6. Select Save & Close.

I've attached some screenshots below for your reference.

Then, close the Transactions by Account window and refresh the Balance Sheet by class report for the changes to take effect.

For more in-depth information about classes, you can refer to this article: Filter, sort or total reports by Class.

Please know that all sales tax payments will automatically reflect as Unclassified in QuickBooks Desktop.

This should point you in the right direction. If you have further questions about the report, you can always leave a message below. I'll get them answered for you. Take care.

A brief follow on to my earlier comment concerning the apparent inability to generate a Balance Sheet by Class without having a column of Unclassified balances and transactions.  Resulting from this I am not able to obtain a balanced balance sheet.  Each of my classes have values in the Unbalanced Classes line for each of my two classes, and the column of Unclassified.

Ultimately I want to be able to balance the Unrestricted Net Assets generated by QB in end of year closeout and move the temporarily restricted (in this case everything in my class 500) portion into Temporarily restricted net assets.  With these unclassifieds I can not move forward.

Thanks for getting back, Lou_E. 

After reviewing each transaction with its correct class and the same thing happens, we can verify and rebuild data issues. It's possible that there's a damaged file that caused the discrepancies on the reports. The process will help us identify the cause and how to fix it. 

If the column is still showing up after performing the troubleshooting steps, I suggest reaching out to our phone support agents to report this concern. Here's how: 

1. From the Help menu, select QuickBooks Desktop Help. 
2. Click on Contact us.
3. Then, type in your concern to be connected with the right support. 
4. Click Continue. 
5. You can either Start messaging or Get a callback. 

Let me know how it goes. I'll be around to assist you!

Catherine_B (QuickBooks Team) posted a new reply in Reports and accounting on 04-17-2019 09:56 PM:

Thank you QuickBooks Team for your response. My delay in responding has been due to my continuing to dig deeper into the transactions that occurred prior to the adoption of QuickBooks accounting software.  As said earlier, transactions from pre-QuickBooks were imported, and the issues were coming from those transactions not having classification applied.  By using the Balance Sheet By Class to highlight the unclassified amounts I was able to year by year apply the classification to the Invoices, Bills, checks, Donations, transfers, etc., to each.  That method, an extension of what I had done earlier got me to a core,  early set of transactions which do not contain a place for Class to be included in their format. 

General Ledger reporting for the period shows, in Accounts Receivable, what appears to be a type of Invoice, termed "Stmt Charge" against which "Payments" are matched to indicated fulfillment.  Attempts to "drill down" to the format of the "Stmt Charge" are unsuccessful, leaving only the A/R register contents.  So, neither the "Stmt Charge" nor the Payment have a place for Class to be entered.   What I am left with is a $31,520 block of unclassified funds in a bank sub-account  we no longer use (which in the mean time has been transferred to our current records, so no actual funds are involved) but which still shows up as unclassified and still throws the actual classes balances off.  The attached file is a screen shot reflecting current status.

I have a couple of other items / mistakes showing up in later years but these will have different solutions.

Thanks.

Hello again, Lou_E,

I appreciate you getting back to us and providing detailed information.

Upon pulling up the Balance Sheet by Class report, it will show the balance sheet of each aspect of your business you track by class in QuickBooks. By default, it filters all transactions to show in the report which is the reason payments and statement charges show.

In the Transactions by Account report, payments can't be assigned by class. To have it not be showing in the report, then you can customize the report by Transaction Types to Sales Receipts and Invoices.

Here's what you'll need to do:

1. In the Balance Sheet by Class report window, click Customize Report button at the upper left hand.
2. Go to Filters tab.
3. In the Choose Filter section, type Transaction type in the search field.
4. In the Transaction Type drop-down button, click Multiple Transaction Types.
5. Select Invoice and Sales Receipt in the Select Transaction Types window, then click OK.
6. Once done, click OK.

That's it! If you have further questions, please feel free to reach back out. I'm always here to answer it for you. Have a great day!

Thank you for your response.

I have used that method as described.  In my case the transaction names are "Stmt Charge" instead of Invoice.  The resultant "Stmt Charge" transactions do not have a place to define "Class".

I have given it some thought and think the only viable work around is to create parallel transactions of Invoice and Payment and to modify the originals contain a note regarding the initial value and reason for modification and to have "0" in their values, maintaining integrity of the transactions but providing the ability to capture the values  in a classification.  

I have been discussing the problem with the support group, but at this writing am not being provided a solution, but I think my work around is likely the best course.

Any thoughts?