Write-Off Installments

If your organization cannot collect the total remaining revenue for a commitment such as a pledge, you can write off all its remaining installments. After you write off the commitment, it no longer appears as unrealized revenue in the general ledger.

Note: When you write off a transaction, posting that write-off to the general ledger will impact any general ledger accounts you map to the write-off by Reason code. For example, you may want write-offs with a reason code of "Overdue/Uncollectable" to reduce the outstanding amount of the receivable and increase an expense (or contra asset) while write-offs with a reason code of "Current Write-off - Constituent Request" reduce the outstanding amount of the receivable and directly reduce a Pledge Revenue account.

You can write off a single installment or multiple installments without writing off the entire commitment. If necessary, you can write off a total amount and distribute it over the remaining installments so the individual payments decrease, or you can simply edit the way the write-off is distributed across the installment schedule.

Note: You can also write off multiple pledges using the Pledge Write-off batch. The Pledge Write-off batch allows you to write off multiple pledges at one time, write off the full pledge balance or selected installments, and take advantage of the approval workflow and validation functionality within Batch.

Note: If your organization cannot collect multiple pledges, you can create a business process to write off the entire group of pledges at one time. For information about how to write off multiple pledges at one time, see Globally Write-Off Pledges.