FAQ 488: ESOP--Buy/Sell Shares - "Not enough cash..." message


I'm having ESOP problems. I am attempting to payout terminees and am running into a problem trying to run the "Convert All Shares to Cash" option. There is $102,000 in cash from contributions, which is plenty to purchase the shares, but when I run it says not enough cash in Fund 1. I followed the steps in the ESOP manual for this routine, but it does not seem to be working. Any ideas?


I assume that you are running this on the status "Q" employees, and using the end of year share price of $31.12. The message is coming up because there is *no* cash in Fund 1 in the profit sharing source - and your terminee has .3623 shares in the PS source to be distributed. The system cannot move cash among sources, so it relays the message. If you uncheck the PS source in the Buy/Sell setup, the conversion should run through fine for the deferral and match sources and there is enough cash in those sources. Cash would have to be contributed to the PS source if you wish to liquidate those shares as well.