Only this way one can verify that the organisation, or a project is on track, and that the ledger journals reconcile with the payments.
You should make or adapt this overview monthly, quarterly, or after a large project or expense is accomplished.
Please ask your partners to report expenses monthly.
If the amount and number of transactions is limited, a quarterly review might be sufficient.
When huge amounts are not yet invoiced, you could book provisions, in order to have an accurate status of the financial situation.
- (approved) yearly budget (proactively, reactive)
- Budget status (incremental, YTD, till EOY)
- Bank transactions (actuals)
- Debit credit (actual income & expense: aggregation of bank transactions)
- Expense provision (planned expenses, delayed invoicing, potential income, bad dept)
- Bank status (planned income & expenses by month till EOY)
- For each expense (or income) a budget item (project) is assigned.
- For each expense a cost centre is allocated (activity based costing)
- Further aggregation: by expense claim, by owner, by project, by activity, by date/period
- Then you can create a pivot table to aggregate your expenses (or income)
- Then you can compare the actuals (YTD) with the budget to calculate the remaining months budget (divide the remaining budget by the initial and multiply by 12)
- For historical comparison, you can keep monthly, or quarterly results