One of our member's payment checks bounced and the club was charged an “insufficient funds” fee.

If a member's check is returned, and the club is charged for it, the insufficient funds fee should be entered as a standard expense. While there may be an inclination to try to charge the member directly, we advise against this, because any transaction entered will have an effect on the entire club. Even entering a partial withdrawal lowers the overall value of the club.

Instead, we suggest simply that the member reimburse the club for the insufficient funds fee. When received from the member, the treasurer would enter this as a member FEE rather than a member DEPOSIT. Doing so will reflect that the member paid money in to the club, but will not increase their number of units (ownership) in the club.

Additionally, some clubs may want to reflect that their account balances changed due to a check being returned.

Assuming that the amount of the original deposit will be made good by the member, the club can show the money movement as follows:

On the date that the money was removed from the club's account at the bank or broker, enter a transfer from the bank or broker into Suspense. In, this is done by going to Accounting > Cash Accounts > Transfer. In the desktop Club Accounting 3, this is done by going to Transactions > Transfer Cash.

When the member makes good on the check, and the money is back in the club's account, return to the Transfer screen, and enter a transfer from Suspense, back in to either the Bank or Broker account.