There are few moments more terrifying for a database administrator than hearing someone casually say: “Can’t we just fix the gift?”
Fix it how, exactly?
Because in Blackbaud Raiser’s Edge NXT, there is a very big difference between an adjustment and a write-off. And choosing the wrong one can create reporting confusion, accounting headaches, awkward audit conversations, and that dreaded Slack message from Finance that says: “Hey… quick question.”
Today, the Blackbaud Ninjas are breaking down when to use adjustments, when to use write-offs and how to avoid turning your gift records into a crime scene investigation.
What is the actual difference between a write-off and an adjustment?
According to Blackbaud, the biggest distinction comes down to whether you are changing a posted gift or acknowledging that a pledge is no longer collectible.
Think of it this way:
- Adjustment = correcting or modifying gift information
- Write-off = closing out an unpaid balance you no longer expect to receive
An adjustment changes the original transaction details. A write-off says: “This remaining pledge balance is not coming in.”
That difference matters a LOT for reporting and general ledger behavior.
When should I use an adjustment?
Use an adjustment when the original gift information needs to be corrected or changed.
Common examples include:
- Wrong gift amount entered
- Gift assigned to the wrong fund
- Incorrect campaign or appeal
- Refund situations
- Reallocating a pledge payment
- Moving a payment to the correct pledge
Blackbaud specifically notes that adjustments are designed to track changes and communicate appropriately through the posting process. In other words, adjustments are your “we need to fix the data” tool.
Example: A donor was entered with a $5,000 pledge payment, but the actual payment was only $500.
That is an adjustment situation.
Not a write-off.
Not “delete and pray.”
An adjustment!
When should I use a write-off?
Write-offs are typically used when a donor has an outstanding pledge balance that is no longer expected to be fulfilled.
Common scenarios:
- A donor tells you they can no longer complete the pledge
- A campaign has closed and old balances need cleanup
- A deceased donor has an unpaid balance
- Finance decides aging pledges should be closed out
- A recurring gift replaced the pledge structure entirely
- A write-off does not mean the donor did something wrong. It simply means the organization no longer expects the remaining balance to be paid.
This is an important stewardship distinction.
Your database should reflect reality, not wishful thinking from the 2019 capital campaign.
Why shouldn’t I delete a pledge in Raiser’s Edge NXT?
Because auditors exist.
Also, reporting.
Also, historical accuracy.
Deleting gifts or pledges removes history and can create major reconciliation problems. Blackbaud specifically limits deletion behavior for write-offs because they are intended to preserve transaction history.
A properly documented write-off creates a transparent audit trail that explains what happened.
Do write-offs hit the General Ledger?
This is where things get confusing for a lot of organizations. Write-offs themselves do not behave like standard cash transactions because pledges are promises, not actual received revenue.
That distinction is important.
As one nonprofit professional explained in a Reddit community discussion: “A pledge is not actual money. It’s a promise of money.”
Because of that, write-offs and adjustments may not appear in posting reports the way gift payments do.
This is also why your Finance team and Development team need to stay aligned on pledge policies and posting expectations.
What happens to reports when you use write-offs?
This is where clean database practices really matter.
If old pledges sit untouched forever, your committed revenue reporting can become wildly inflated.
You end up with reports showing money that realistically is never coming in. Write-offs help your pipeline, campaign totals, and forecasting reflect actual expected revenue.
Can I undo a write-off?
Yes, in many cases you can remove or reverse a write-off from the pledge record if needed. Blackbaud documents methods for deleting write-offs directly from the pledge itself.
That said, you should still:
- Document why the reversal occurred
- Notify Finance if GL implications exist
- Keep notes on the constituent record
- Avoid “mystery corrections”
A clean audit trail is your friend.
What is the biggest mistake organizations make with adjustments and write-offs?
Using them interchangeably or not using them at all.
This usually happens when teams do not have documented gift correction policies. The result:
- Inconsistent reporting
- Confused accountants
- Duplicate gifts
- Broken pledge balances
- Reconciliation nightmares
- “Who changed this?” detective work
The best organizations create simple internal rules around:
- When to adjust
- When to write off
- Who approves changes
- When Finance gets notified
- How notes should be documented
Honestly, even a one-page SOP (standard operation procedures) can save your team hours of cleanup later.
What’s the easiest way to explain this to a new DBA?
Here’s the simplest version:
| Situation | Use Adjustment? | Use Write-Off? |
| Wrong amount entered | Yes | No |
| Wrong fund/campaign/appeal | Yes | No |
| Existing gift record contains incorrect information | Yes | No |
| Donor will not fulfill remaining pledge | No | Yes |
| Uncollectible pledge balance needs to be removed | No | Yes |
| Reporting overstated because of dead pledges | No | Yes |
A simple rule of thumb: If the gift or pledge record is inaccurate, use an adjustment. If the record is accurate but the donor will not fulfill the remaining commitment, use a write-off.
At the end of the day, this is really about database integrity.
Adjustments help you correct mistakes.
Write-offs help you acknowledge reality.
And both matter because clean fundraising data affects everything from donor stewardship to campaign forecasting to financial reconciliation. Also, if your organization still has open pledge balances from people who pledged during the Obama administration… it might be time for a database cleanup project.
The Blackbaud Ninjas see you.
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