RECORDING PROCESS
Keeping complete and accurate trust fund records is easier when specific procedures are regularly followed. The
following procedures may be useful in developing a record keeping routine:
1. Record transactions daily in the trust fund bank account and in the separate beneficiary records.
2. Use consistently the same specific source documents as a basis for recording trust fund receipts and
disbursements. (For example, receipts pertaining to real estate resales will be recorded based on the Real
Estate Contract and Receipt for Deposit form, and disbursements will always be recorded based on the
checks issued from the trust account or debit notices from the bank.)
3. Calculate the account balances on all applicable records at the time entries are made.
4. Reconcile the records monthly to ascertain that transactions are properly recorded on both the bank account
record and the applicable subsidiary records.
5. Reconcile the trust records to the trust account bank statement on a monthly basis to ascertain that
amounts per the bank are in agreement with amounts per the trust fund records.
6. If more than one trust fund bank account is maintained, keep a different set of properly labeled columnar
records (cash record and beneficiary record) for each account.