I am trying to keep track of restricted funds.
I saw a YouTube video where someone recommended one method of creating an equity account. This made sense to me because I can immediately look at the account and see how much money is left. So I made a "Scholarship Fund" equity account. However, let's say, for example, I write a scholarship check and make the account for that check "Scholarship Fund," now it doesn't show up on the statement of activity because it's not counted as an expense anymore (or maybe I am missing something). Is there a solution where I can keep track of the total left in an equity fund, yet, checks written and received show up on the statement of activity report? Or if not, could someone give me a simple explanation or point me to a resource that gives a way to keep track of the amount of restricted funds there are, as well as show the expenses/revenue on the statement of activity? Or if you think I should be doing this in a totally different way that I have not mentioned, please let me know.
btw: I'm not an accountant, I'm an unpaid board member of a small nonprofit organization trying to keep track of the money.
edit: nevermind, I found a different method that works better for me.
Thanks
