The available cash amount that is displayed on the fund advisor portal is calculated by subtracting outstanding liabilities and pending grants from available assets. In order to view available cash on the fund advisor portal, it must be enabled in Fund Advisor Settings.
Sometimes a foundation would like to show the available for cash amount instead of the spendable balance of the fund because the foundation uses a cushion of investment assets to allow room for market fluctuations or if a fund has assets in holding accounts, like a pending stock sale or pledges/accounts receivable, where it is a non-spendable asset.
Outstanding Liabilities - The current sum of liabilities in the fund.
Pending Grants - The total of any recommended or pending grants on the fund that are unposted and waiting approval.
Available Assets - Calculated by multiplying the balance in each asset account by the available for cash percentage defined in the asset account.
Let’s assume that a Fund has the following assets:
- Checking Account: $1000 with 100% available cash
- Investment Pool: $1000 with 75% available cash
- Pledges Receivable: $2000 with 0% available cash
The fund has a total of $4000 in assets, so the available assets would be $1750.