1. People codes vs. Gift codes
The most important code usage tip (in my opinion) is to make certain that the assignment or attribute fits. In FundRaiser there are codes that attach to name records (what I call "people" codes), and codes that attach to gift records (hence "gift" codes). For the most effective assignment of codes, think of codes as "unique identifiers" that attach to either a person or a gift. In other words, does the code have to do with the person, defining that person in some way? Or does it have to do more with a gift, defining the gift in some way? An example of people codes are the Category codes in FundRaiser. Category codes, unlimited in the number that can be created and/or assigned, give us information about people such as life situations (parents, grandparents, students, seniors, occupation, hobbies, interests, relationship to our organization or another, etc.). Gift codes, on the other hand, tell us about the gift, such as why the gift was given (Motivation code), or how that money is to be spent (Purpose code, for describing restricted/designated use gifts). Make a list of all the things you need to know about a gift. Make a separate list of all the things you need/want to know about your people. Keep the lists handy, and, when in doubt, refer to them when wanting to assign a code.
2. Avoid double work
Think of Category codes as "non-giving" aspects of peoples' lives. There is no need to code someone as a "major donor", or as a "frequent giver", since their individual giving history will tell that story, and their status could change over time. If you code them, then you may, at some point in the future, need to remember to change their coding as their status changes. If, instead, you rely on your gift records to gather together major or frequent donors, you eliminate that double work. Coding is supposed to make your job easier, not harder, so don't code fi it creates duplicity. By the same token, make certain that everyone entering data is playing by the same rules, so that you have consistency in your coding plan.
3. Using Groupings and/or Advanced Report options
Most reports can be used with Groupings (gatherings of name records that have one or more things in common), which will limit the report to just those folks in the grouping, and most reports have an "Advanced" tab that allows you to further define who and what will appear on a report. Codes, of course, can be used as criteria in both Groupings and the Advanced section. Whether to use one or the other or both in concert can be a bit confusing, but it's a good idea to explore these options when trying to "segment" your donor base, such as suggested in Sasha's blog this week. Let's say you've coded people as parents, grandparents, students, seniors, etc. It may be that you want to see which of those groups donates the most. You'll need to be a bit careful, since some of these codings may overlap. Grandparents are also parents, and could be seniors and/or students. So it may not be appropriate to segregate them quite that way. In order to include certain codes, but exclude others, it may be necessary to use a grouping in addition to advanced report options. The point is: think carefully about the results you want, and whether or not the dividing lines between groups of donors are distinct or blurry, and proceed accordingly.