A key responsibility for all committee members is to manage and control the funds the association raises. Although all the committee members have equal responsibility for the control and management of funds the Treasurer plays an important part in helping the committee carry out these duties properly.
The Treasurer should maintain a record of all income and expenditure. This can be done in a simple accounts book or using a computer based package. The Treasurer is responsible for handling the money raised at events, making approved payments and making arrangements for counting of money at events,
The Treasurer should report on the current financial position at each committee meeting and this should be recorded in the minutes. The report should include an update on any income and expenditure since the last meeting and the current balance. If the Treasurer is unable to attend a committee meeting, a written report should be sent to the Chair in advance of the meeting. All financial decisions taken should be recorded in the minutes of the meeting.
The Treasurer operates the bank account, reconciles the bank statements and liaises with the bank regarding changes to the bank mandate and list of authorised signatories. The Treasurer should retain the cheque book and arrange for all payments to be authorised by a second signatory ensuring regular payments, for example, PTA-UK membership, are made on time to guarantee benefits and take advantage of any discounts. The person co-signing must see what is being paid for before signing and once processed the original invoices should be kept by the Treasurer.
At each event, two people, the Treasurer and another committee member should take charge of monies received and count the proceeds before they leave the event venue. Once both parties agree the total, it should be recorded and then banked or placed in a safe overnight. We recommend that funds raised should not be kept at home. PTA-UK insurance provides cover for cash to specified limits. Please refer to the PTA-UK Policy Insurance Summary for further details.
The Treasurer should also be involved in pursuing charitable status and Gift Aid. Before the AGM, the Accounts will have to be drawn up in collaboration with the Chair and either audited or independently examined as specified in your constitution.
- maintain accurate and detailed financial records
- present a financial report at each meeting
- liaise with the bank
- make approved payments
- consults with the bank or building society regarding the availability of higher rate interest accounts
- count and bank monies
- prepare and co-sign cheques as required
- provide and account for cash floats at events
- charity registration and Gift Aid
- pay agreed expenses
- prepare annual accounts and liaise with the independent examiner of accounts
- ensure the committee has agreed appropriate procedures for the handling of financial matters
Depending on the experience of your Treasurer your accounts can be produced in several ways:
- in an analysed cashbook
- using a spreadsheet application
- using an accounting program
Any of these systems can be used to record information throughout the year and will allow your association to produce periodic and end of year reports. Simple computer software is a good option. A lack of knowledge of such packages should not preclude anyone from being the Treasurer as it is acceptable for the committee to arrange for appropriate training for the Treasurer.