FundSvcs Community

Expand all | Collapse all

Recording pledge date

  • 1.  Recording pledge date

    Posted 18 days ago
    I found some good guidance in the archives about how to date a pledge, but because they were from many years ago, I just want to confirm that rules haven't changed.

    My question is, what date must/should/can we use when recording pledges: the date received in gift processing or the date the donor signed the document? 

    The response from the archives was (paraphrasing) that CASE doesn't specify, but that 1) it's up to the institution: some shops use the date the donor signed the pledge form and some default to the current processing date, either of which is allowed and 2) in some cases when the first pledge payment is received before the pledge agreement comes in, some shops will back-date the pledge to the date of the first payment

    Are all of these scenarios still allowed?

    Thanks!



    ------------------------------
    Gwen Donev
    Director of Advancement Services
    Gustavus Adolphus College
    gwendonev@GUSTAVUS.EDU
    ------------------------------


  • 2.  RE: Recording pledge date

    Posted 18 days ago
    The earlier advice remains the same.  Develop a standard protocol and follow that consistently.

    Most places I go, and this also goes for our rule of thumb at Duke and NC State, was to use the "processed date" much as we did all gifts.  This ensures proper counting and reporting.

    However, regardless of that date, we always entered the payment schedule dates precisely as outlined in the pledge agreement.  Doing so ensure proper timely reminders, as well as provides the Business Office with what they need for booking a receivable.

    John

    John H. Taylor
    Principal
    John H. Taylor Consulting, LLC
    2604 Sevier St.
    Durham, NC   27705
    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987






  • 3.  RE: Recording pledge date

    Posted 18 days ago
    PS - Here's the language from the latest CASE Standards for gift recording.  There isn't any similar language for pledges, but I always like to be consistent:

    3.2.3 Cash, Checks and Credit Cards
    Report the amounts of cash and check gifts as of the date the institution receives or processes
    them
    (depending on the institution's audit requirements).

    John H. Taylor
    Principal
    John H. Taylor Consulting, LLC
    2604 Sevier St.
    Durham, NC   27705
    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987







  • 4.  RE: Recording pledge date

    Posted 18 days ago
    Gwen, speaking to the issue of backdating, this is very common because many databases will not allow pledges to be satisfied with payments that were made prior to the pledge. Making the first pledge payment would generally be considered entering into a contract, albeit possibly a voidable one (legal caveats abound!) but for the purposes of recording a pledge date this is reasonable. It is certainly much better than most other workarounds for dealing with payment-before-pledge.


    Thank you,
    Isaac Shalev
    CRM Expert
    Sage70, Inc.
    (917) 859-0151
    isaac@sage70.com

    Schedule a 30-minute consultation now: