Setup of Due To/Due From Accounts

When setting up your due to/due from accounts in the Chart of Accounts, use the following guidelines:

·       Due to accounts are typically liability accounts (account type L) that carry a credit balance.

·       Due from accounts are typically asset accounts (account type A) that carry a debit balance.

·       You can combine the Due to and Due from accounts and have only one Due to (from) account per fund group. Using this approach, the Due to (from) account will keep the net due to/due from balance for the fund group.

·       Each fund group has one Due to account and one Due from account. Alternately, each fund group has one Due to/due from account.

To set up automatic due to/due from entries, identify the Due to account and Due from account for each fund. If you want to use only one Due to/due from account per fund, simply use the same account number for both the due to and due from entries.

Example 1

The illustration below shows an example of setting up due to/due from accounts for simple transactions (i.e., keeping two accounts, one for Due to and one for Due from).

Example 2

The illustration below shows only one account identified for each fund, thereby reflecting the net due to/due from for each fund.