Accounting practices will vary regarding the summarization and entry of the match into your agency's revenue.
For example, cash match might be maintained in the general ledger as a separate subaccount within the Head Start fund. This would provide a means of tracking the cash match and related expenditures. Third party in-kind service or other donations might be tracked on a spreadsheet at the Head Start office and the information given to the fiscal department monthly for entry to the general ledger
if required by agency accounting policies and procedures. This could be accomplished by having general ledger accounts for non-federal match revenue and non-federal match expense.
Traceability and consistency are two key components here. Keeping track of your NFM requirements as liabilities will help with this process.