How should I account for pay-it-forward donations

Pay-it-forward donations are pooled together and then converted to a Shopify Gift Card at the end of the month or when required. Code pay-it-forward donations in the same way you would normally code a Shopify Gift Card/voucher, i.e., it becomes a sale when the Gift Card/voucher has been redeemed. 

When a pay-it-forward donation is received this should be coded as a liability. When the Shopify Gift Card/voucher is redeemed by the charity it will need to be taken out of the liability account and coded to a sales/revenue line item. If you like you can set up a unique GL for pay-it-forward donations. If you need further information please don't hesitate to contact us at