Can one have a chart of account built mainly for charities that can track restricted funds and grants

Yes, QuickBooks Online allows you to set up a nonprofit chart of accounts, enabling you to track restricted funds and grants effectively. When setting up your QuickBooks company, simply select Nonprofit as the business type. This ensures all account types in your chart of accounts will be tailored for nonprofit needs by default.

For more details, see this article: Configure an account for a nonprofit organisation in QuickBooks.

We're right here if you need any additional help.

Choosing Nonprofit as the business type is a good start, but it won't track restrictions for you on its own. What I'd set up:

Classes for function (Program, Management & General, Fundraising), so P&L by Class gives you your functional expense report.

Projects (or sub-customers) for each restricted fund or grant, so you can see received vs. spent per grant at any time.

Two income accounts for releases: "Net Assets Released from Restriction, With Donor Restrictions" and "Without Donor Restrictions." When you spend restricted money for its purpose, post a small journal entry moving it from one to the other. Total revenue doesn't change, it just shifts columns.

Once a month, check that restricted net assets on the balance sheet match the unspent balances by project. If they don't, a release was missed or an expense wasn't tagged.