Because this information is an accounting expense, the preferred method is to record the processing fee as an expense in an accounting package such as The Financial Edge. If you are interested in learning more about The Financial Edge, email firstname.lastname@example.org.
Note: Before using any of the methods below, consult with your accounting department or qualified accountant to ensure that it works with your method of accounting. Because The Raiser's Edge is not an accounting software, it doesn't have accounting functionality. These are possible alternatives only. We are unable to give accounting advice or determine which, if any, of the following methods is best for you. We recommend tracking the information in an accounting program.
The alternative solutions below use the following scenario as an example: a $100 gift with a 3% processing fee.
- Enter the net amount ($97) in the gift amount field. Enter the actual amount ($100) in the receipt field. Refer to How to enter a receipt amount for more than the gift amount (BB263384) for instructions on setting the business rule to allow this.
- Set up a fund for the expenses. Enter a split gift with $97 to the normal fund and $3 to the expenses fund. Refer to What is a split gift and how to add it? (BB59312) for instructions on adding a gift with two funds.
- Enter the donation as a stock gift. Sell it and record the $3 as a broker fee. Entering it this way restricts the gift to using the debit and credit account numbers associated with sold stock type gifts. Refer to How to sell a stock gift (BB118438) for instructions.
- Enter the full amount in the gift amount field. Enter a gift attribute to track the $3 expense. Refer to How to add an attribute (BB515) for instructions.