We received a "Serious Error" message when allocating income or running taxes. What does that mean?
This may mean that the software is set to "non-time based" allocations. While this would not normally cause an error, it is an outdated method of allocation. We suggest you use this opportunity to make sure your club is set to use Time Based allocation. There are two key considerations for switching to Time Based allocation:
- It is the IRS preferred method.
- Non-time based allows a person who joins in December to get allocated the same benefits and penalties as a person who has been a member of the club all year long. Time-based takes the date the member joined into consideration.
To change this:
- Go to Accounting > Utilities > Allocation Settings
- Click the radio button forUse time-based earnings allocation
- Click theUpdate Settingsbutton.
- Re-run your allocation underAccounting> Utilities>Allocate Income and Expenses