Audit Adjustments

Haley Whittemore
Haley Whittemore
Sixth Anniversary
in Blackbaud Financial Edge NXT® General Discussions

How do you handle recording audit adjustments provided to you by the auditors? Specifically discount on pledges receivables? This always throws off our PR numbers and one auditor mentioned that some schools do not record them.

Comments

  • Patrick Lunn
    Patrick Lunn
    Sixth Anniversary Kudos 2 Name Dropper Participant

    You would create a “Discount” account that would be a contra-asset to Pledges Receivable first. Then, just do a JE where you credit that discount account, and debit revenue.

  • Angela Tuttle
    Angela Tuttle
    Tenth Anniversary Kudos 5 January 2026 Monthly Challenge Name Dropper

    We make the same entry that Patrick describes.

  • Roberta A. Gilbert
    Roberta A. Gilbert
    Eighth Anniversary Kudos 4 Financial Edge NXT Fall 2025 Product Update Briefing Badge Name Dropper

    Patrick Lunn:

    You would create a “Discount” account that would be a contra-asset to Pledges Receivable first. Then, just do a JE where you credit that discount account, and debit revenue.

    We do the same thing, and also with a bad debt reserve (updated every year).

Categories