The Override unit price/Effective date feature, located on the Fund activity screen, was originally created to correct gifts that were recorded to the wrong funds (for customers that don't want to make the correction by reopening back to the period of the error).  This feature can also be used to post a new gift in the current period that should have been recorded in a prior period. Please see below for more information on how this feature works in Balance.

 

In this example, we will be correcting a gift that was attributed to the incorrect fund 600016 in March of 2023 (see highlight below). The correcting entries will be posted in the 7/31/23 posting period.

 

To correct this error, two transaction entries will need to be made.

 

Navigate to the Accounting screen and click the '+Add activity' button.

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Select the fund to which the gift was incorrectly applied and enter the gift amount as a negative number. choose the transaction type of Cash Historical Gift Transfer (if you do not see the Cash Historical Gift Transfer option, you may see HG/Cash Transfer). 

 

This transaction transfers the historical gift out of the incorrect fund.

 

Next, click on Add additional details.  There are 2 options for updating the unit price to the historical unit price of the gift. 

 

The first is to select the Effective date in which the gift was originally entered.  In this example, the gift was originally posted with a 3/31/23 date.

 

If the date of the gift was prior to using Balance, the second option of manually entering in the unit price can be used. Simply select the box "Override Unit Price" and manually key in the unit price from past spreadsheets or from a legacy system.

 

External transfer org and Object code tie back to destination accounts on the GL.  These fields are optional.

 

Click the Add Activity button.

 

Next, enter a second cash historical gift transfer transaction to transfer the gift into the correct fund.  Select a fund and enter the Amount as a positive number.

 

Click on the Add Additional Details tab and enter the Override unit price information in the same way as was done for the first entry.  Click Add Activity.

 

Transactions to correct the gift are entered as of the current post date.  As you can see from the Accounting Fund activity screen, two correction entries were added.  The Effective Date column is populated with 3/31/23 to reflect that the override occurred.

 

During the Fundriver posting process, the system's calculations will use the 3/31/23 unit price and update units accordingly. The balances of the 2 funds will automatically be adjusted through unrealized gains/losses.

 

There are drawbacks to correcting a gift using this method.  Corrections made in this way aren't as transparent as creating transfer transactions for both the historical gift and appreciation.  It also may not work for clients that track Book Value at the Fund level.  A separate entry to correct the Book Value may be needed.

 

Another method for correcting a historical gift is available and can be found here.