NESFA^® Treasury Procedures: Monthly Transactions

There are a number of transactions which are done monthly and which the Treasurer needs to initiate.  These were previously described as automatic, but that was inappropriate, as these transactions must actually all be entered manually:

• Change the Peachtree date:  It is important to change the active month in Peachtree as soon as practicable each month, preferably before any transactions are entered.  If the active month is not changed, any transaction entered will be dated the first day of the previous month.  This applies to checks written, invoices, credit memoranda, etc. 


• Building depreciation:  We are depreciating the building and major improvements to it on a 20-year straight-line basis.  The monthly amount is currently $640.  Debit EX-CH Depr and credit LI-BuildingDepr.  You can print this form for the transaction file.  You can use the memorized transaction CH Depreciation and add the transaction number. 


• Equipment depreciation:  We have an unusual (though acceptable) scheme for depreciating equipment: We depreciate by 3% of the depreciated total each month.  This is roughly equivalent to a 3.5-year depreciation schedule, but avoids us needing to keep track of individual items purchases times and prices.  To do this transaction:
  • Set the Peachtree accounting period to the month in question.
  • Select the report Reports and Forms > Financial Statements... > Depreciation detail report.  This will provide a depreciated value for all equipment as of the end of that accounting period.
  • Compute 3% of that amount and
  • Debit it to EX-Equip Depr and credit it to LI-EquipDepr.

In each case, the Treasurer must create appropriate paperwork to document the transaction and file it.

This page is maintained by Treasurer at NESFA dot org.