How to Transfer cash into bank account

Question

Hello, Someone donated $100 cash, and I want to donate that $100 to an organization with my bank debit card. After I make the donation, I will still have the $100 bill to use as petty cash, but the money in my bank account will have gone down $100.

Is there a way to do this on Quicken? Basically, I could drive to the bank and deposit it into the bank account first, donate it from that account, and the go back to the bank later and withdraw $100 petty cash. I would like to avoid the trips to the bank.

I am using Windows Quicken Home/Business/Rental Subscription R51.12.

What I tried was to enter the cash into my cash account and then transfer it to my checking account from which I would then donate. However, the red pencil shows up by the manual transaction indicating that it is waiting to match with an online transaction. Is there a way to do it and avoid the red pencil? I appreciate your help!

Tom Young · Answer

I too don't understand the need to record that $100 received as a form of income, either for accounting or tax purposes.  My impression was that somebody gave you $100 in cash to "pass along" to the organization.  You did that by keeping the cash and giving the organization the $100 our of your checking.  If that impression is correct then you have no income for accounting or tax purposes, and you have no "donation" or "contribution" you can count as an expense.

The person who gave you the $100 cash has the expense.

You might want to fill in the missing details if my impression was wrong.

volvogirl · Answer

huh?  How is it income for tax?  I don't think you need to withdraw it from the cash account unless you spent it for something later.   Your first post said you still have the $100 to use.

byronyoder · Answer

Thank you @Bob_L and @Tom Young! I believe that clarified enough for me that I was able to think it through the rest of the way and understand what I need to know.

I can simply entered the deposit in the Cash Account categorizing it as income (thereby registering it for tax purposes), and then withdrew it again under personal spending so I can keep the cash. Cash balance of $0. Then I can donate $100 with my card as usual. I will tag the deposit and the donation with the same tag so that they can be connected in the future if necessary.