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Connecting to Financial Software

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    Overview

    This guide explains how ShulCloud syncs financial data with external accounting software (e.g., QuickBooks, Sage, MIP). You’ll need a basic understanding of ShulCloud’s financial system, including charge types and transaction entry.

    Important: This article covers ongoing syncing only. If you want a one-time import (e.g., from QuickBooks to ShulCloud for initial setup), please contact Support.

    What Syncing Means

    • ShulCloud sends batches of transactions (not individual member transactions) to the accounting software.

    • These batches summarize debits and credits by General Ledger (G/L) account.

    Sync Methods

    Choose one of these:

    1. Cash Basis

      • Debits → Bank account

      • Credits → G/L accounts (usually income)

    2. Accrual Basis

      • Debits → Accounts Receivable (A/R)

      • Credits → Income accounts

      • Deposit batches move debits to Cash (bank) and credits to A/R

    Setup Process

    • ShulCloud’s Financial Sync Team must configure the connection for you.

    • A one-time setup fee applies (usually included in onboarding).

    • Setup includes training on how to run and maintain the sync.

    Requirements Before Setup

    1. Final Data Imports:

      • All data must be fully imported before syncing is enabled.

      • Expect a short pause (days/weeks) between the final import and sync setup.

    2. Temporary Recordkeeping:

      • During this pause, synagogues typically keep paper or manual records.

    3. Financial Software Ready:

      • Your chart of accounts must be complete and robust.

      • ShulCloud cannot build your chart of accounts or provide accounting advice.

    4. Sync Method Chosen:

      • Decide between cash or accrual syncing before setup.

      • Changing later may incur additional fees.

    5. Sample Transactions Entered:

      • Several deposits worth of live transactions (not imported data) must be in ShulCloud.

      • This ensures proper training and testing.

    Timing & Expectations

    • There is usually a short lag between going live on ShulCloud and enabling syncing.

    • During this time:

      • The General Ledger may not fully match bank activity.

      • Some synagogues manually enter deposits in their accounting software, then delete duplicates once syncing begins.

    Cash-Basis Syncing (Recommended Method)

    In cash-basis syncing (the recommended option for most synagogues), each charge type in ShulCloud is linked to a G/L account in your financial software. This determines where funds are recorded based on the charge type.

    If you use QuickBooks, you can also assign a class to each charge type (if classes are enabled).

    Example Journal Entry (Non–QuickBooks Software)

    When a $5,000 deposit is made, ShulCloud summarizes the payments by charge type and creates a batch entry:

    Debit / Credit Account Amount
    Debit Bank of High Returns Operating Account $5,000.00
    Credit Membership Dues $2,000.00
      Shabbat Dinner $450.00
      Building Fund $500.00
      Music Fund $36.00
      High Holiday Seats $1,250.00
      Charity Appeal $350.00
      Youth Donation $350.00
      Online Convenience Fee $64.00

    • Each credit may represent one or more payments but is summarized for transfer.

    • Not all line items are income accounts (e.g., Charity Appeal may be a liability, Online Convenience Fee may be an expense).

    Important Notes

    • In cash-basis syncing, no A/R balances are carried into your financial software.

    • Synagogues typically manage statements, aging, and A/R reports directly in ShulCloud.

    • The financial software is mainly used for P&L reporting.

    Charge Type Setup

    When editing charge types in My Lists, you’ll assign each one a linked G/L account:

    • In non-QuickBooks systems, enter the account number from your chart of accounts.

    • In QuickBooks, select from a searchable drop-down list.

    • QuickBooks users can also link classes to charge types.

    Accrual-Basis Syncing

    In accrual-basis syncing, each charge type in ShulCloud must be linked to:

    1. A G/L account (typically income)

    2. An Accounts Receivable (A/R) account

    If you use QuickBooks, you can also assign a class to each charge type (if classes are enabled).

    Example: Charge Batch

    When charges are recorded, ShulCloud summarizes them into a batch:

    Debit / Credit Account Amount
    Debit Accounts Receivable $4,000.00
    Credit Membership Dues $1,000.00
      Shabbat Dinner $450.00
      Building Fund $500.00
      Music Fund $100.00
      High Holiday Seats $1,250.00
      Charity Appeal $350.00
      Youth Donation $350.00

    This entry represents charges posted to members’ accounts.

    Example: Deposit Batch

    When payments are deposited, a deposit batch offsets the A/R:

    Debit / Credit Account Amount
    Debit Bank of High Returns Operating Account $4,000.00
    Credit Accounts Receivable $4,000.00


    Setup Notes

    • Each charge type links to both a G/L account and an A/R account.

    • In QuickBooks, you’ll select accounts from a searchable drop-down list.

    • Synagogues may use multiple A/R accounts to track different types of income.

    • Classes can also be assigned to charge types.

    • Optionally, you can specify a separate G/L account for reversed transactions (e.g., write-offs). Most synagogues, however, rely on the Charge Reversals report in ShulCloud for this.

    Creating Deposit Batches

    Deposit batches in ShulCloud are created manually by selecting the transactions that belong in the deposit.

    Best Practice

    To simplify bank reconciliation, deposit batches should exactly match the deposits made to the bank, whether they are:

    • Checks

    • Cash

    • Combined check and cash

    • Credit card deposits

    Creating a Deposit Batch

    1. Go to Deposits from the main menu.

    2. Select the bank account (every account receiving deposits must have a corresponding account in ShulCloud).

    3. Enter the date of the deposit. (Optional: add a deposit ticket reference.)

    4. Select the transactions included in this deposit using the checkboxes. Filters at the top help narrow the list.

    5. Confirm that the deposit is complete and click “Create this Deposit”, then confirm on the next screen.

    Example: A $870 deposit is made from four checks.

    1. If your ShulCloud site is set up to sync and all charge types are correctly linked to G/L accounts, the deposit information will be sent to your financial software on the next sync.

    Credit Card Deposits

    • Credit card transactions follow the same process.

    • Use your gateway’s daily settlement report to determine which transactions settle together.

    • Verify your batch against the bank statement to ensure accuracy.

    • Date credit card deposit batches with the actual deposit date, which is usually a day or two after settlement.

    Reversals and Refunds

    • Reversing a deposited payment creates a negative charge batch.

      • If the reversal is treated as a separate transaction, create a batch for that transaction — this reduces your cash account when synced.

      • If the reversal is included in a day’s net settlement, include it in the deposit batch so that the batch matches the bank deposit.

    • ShulCloud generates adjustment batches for journal entries when needed.

    • Refunds:

      1. Create the reversal in ShulCloud.

      2. Make a batch of the resulting negative transaction.

      3. Mark the batch as imported before syncing so it does not send to financial software:

        • Go to Deposits → View Deposit History

        • Locate the batch and click Mark/Delete → Mark as Imported Record

    Important Notes

    • If a deposit batch contains a charge type not linked to a G/L account, the entire deposit will not sync, preventing duplicate entries.

    • Deposit batches can be viewed in the bank account ledger.

    • Each batch has a unique batch number; synced entries will appear in financial software prefixed with “SC” (e.g., SCXXXXXX).

    • Depending on your financial system, deposits may appear as actual deposits or as journal entries.

    Creating Charge Batches

    Charge Batches (Accrual-Basis Only)

    Charge batches are used only with accrual-basis syncing. ShulCloud creates these automatically — no manual setup is required.

    • Frequency: Normally, one charge batch is created per day whenever at least one charge is entered.

    • Content: Each batch contains the summarized totals of one or more charges.

    • Location: You can view charge batches by going to Deposits → Charge Batches.

      • Note: the system generates charge batches only when a sync is requested or the page is opened, so the screen may take a few minutes to load.

      • This page is available only if your synagogue is set up for accrual-basis syncing.

    Multiple Charge Batches in a Day

    Sometimes more than one charge batch may be created in the same day (for example, if you sync and then add new charges later). This has no negative impact — it simply creates another entry in your A/R account(s) in your financial software.

    Charge Reversals

    If you need to create a charge reversal (e.g., dues abatement, tuition scholarship):

    • ShulCloud automatically generates an adjustment entry (reducing A/R and debiting income).

    • This entry is sent to your financial software in the same way as deposit batches.

    Tracking Charge Batches

    • Charge batches can be viewed most easily in your financial software’s A/R ledger.

    • Each charge batch has a unique number, which is included in the sync to help with reconciliation.

    Sync Errors

    Sync errors can happen for several reasons. The sync process will display details on the issue and how to resolve it.

    • Most common error: A charge type is not linked to a G/L account.

      • In this case, the error log (and the email you receive) includes a link to the affected batch.

      • From the batch, you can identify which charge type is missing a link.

      • Clicking the charge type will take you directly to My Lists, where you can complete the linkage.

    • Other possible errors:

      • A transaction date falls outside of open books (e.g., before the most recent close date).

      • Your financial system prevents certain types of entries due to its data rules or limitations.

    All possible errors and their resolutions are documented in the ShulCloud Help Center.

    Unapplied Payments

    Handling Overpayments and Unapplied Credits

    Many synagogues receive occasional (or frequent) overpayments or payments on account that function as credits on a member’s account. This can also occur with stock donations when the credited value exceeds all open charges.

    Some synagogues have historically assigned these credits to Dues, but this temporarily inflates dues income and is not recommended.

    The better practice is to leave the amount as an open/unapplied credit (i.e., do not check off charges when entering the payment).

    Unapplied Payments in ShulCloud

    • ShulCloud allows you to designate which G/L account will hold unapplied payments.

    • This setting is always available from the Deposits page.

    • Best practice: map unapplied payments to a liability account, since these funds have not yet been earned.

    • If this account is not set, any deposit or charge batch containing unapplied amounts will fail to sync.

    • ShulCloud also uses this account for certain clearing purposes (e.g., some reversals).

    • Usually, this linkage is configured during sync setup.

    Important Notes on Transition

    • Many synagogues begin using ShulCloud with an existing unapplied balance.

    • Historically, these funds were often (incorrectly) posted to an A/R account or Undeposited Funds.

    • Recommended options:

      • Write off the old balance with a journal entry (possibly against Owner’s Equity), or

      • Move the funds via journal entry into the new liability account.

    • Always consult your accounting professional before making these adjustments.

    A Word about Accounts Receivable Accounts in QuickBooks

    QuickBooks has limitations on how Accounts Receivable (A/R) accounts can be used. For example, QuickBooks does not allow a transaction that debits an A/R account and credits another balance sheet account — something that commonly occurs in synagogue accounting.

    To work around this, we recommend creating “pseudo A/R accounts” in QuickBooks by setting them up as Other Asset accounts instead of Accounts Receivable. These can then be used as the A/R accounts for your ShulCloud sync.

    If you already have data in your existing QuickBooks A/R account(s), you may need to create a journal entry to transfer those balances into the new (asset-based) A/R accounts.

    Syncing to Financial Software other than QuickBooks

    The ShulCloud–QuickBooks sync (online or desktop) is the most fully automated option:

    • ShulCloud automatically updates its Chart of Accounts during each sync.

    • Charge types are linked directly to G/L accounts within ShulCloud.

    • Deposit and charge batches are automatically marked as imported, preventing duplicates.

    • No manual file handling is required (aside from starting the sync).

    For other financial software, syncing requires manual steps:

    1. Export a CSV file from ShulCloud.

    2. Import the CSV into your financial software (the exact process will be covered in your sync setup training).

    3. Manually mark batches (deposit and charge) as imported in ShulCloud to avoid re-importing the same data.

    Setting up the Sync

    If you are ready to set up the sync to your financial software, please contact ShulCloud support to schedule your session.

     

    Please Note: nothing in this document is intended to be accounting advice. Please rely on your own accounting and tax professional(s) to determine the appropriate financial needs of your synagogue.

     

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