Finance Policy and Procedures

Transcription

1 1. Information relating to Turner St Kindergarten Bank Accounts Turner St Kindergarten Inc has 5 bank accounts with Bendigo Bank ñ Cash Management Trading Accounts 1. Operating Account 2. Debit Card Account (linked to Operating Account) ñ Social Investment Deposit Accounts 3. Fundraising Account 4. Investment at Call Account ñ 5. Term Deposit Operating Account : BSB Account No Customer Number: /1201 ñ Two signatories - Executive Committee members ñ View only access - Fees Officer ñ All invoices to be paid via this account ñ Invoices can be paid by direct transfer, Bpay or cheque ñ All invoices to be signed by 1 or 2 committee members or staff ñ Any large purchases (ie. capital purchases) should be discussed and approved at committee meetings ñ Statements issued monthly ñ $15 rebate per month Debit card account: BSB Account No Customer Number: /1202 ñ This account is used for petty cash which is linked to the operating account ñ Two signatories - Executive Committee members to transfer funds befween operating account and direct debit account ñ Three staff comprising of the 3yo and 4yo head teachers and the Administration Assistant will have access to a debit card linked to this Account. Charge - $3 per month per card is automatically deducted from account ñ Petty cash is used for small purchases (under $50). For larger purchases, the kindergarten should either be invoiced or staff and committee members to pay out of own pocket and will need to complete a Reimbursement form. The Treasurer and other Executive signatory will authorize transfer of electronic funds into staff/committee member's nominated bank account. 1 Created 2014

2 ñ Best to use the debit MasterCard with a credit option to avoid fees. ñ This card can also be used for: Cash withdrawals from ATM Cash withdrawals via EFTPOS Purchases made with EFTPOS ñ $15 rebate per month Fundraising Account: BSB Account No Customer Number: /CN01 ñ Two signatories generally Treasuer and fundraising coordinators ñ Statements are issued monthly but reconciled quarterly ñ Fundraising funds received and kept separate from operating account. ñ If any fundraising related expenses or purchases to be used from fundraising funds attract GST, then pay via operating account and reimburse payment excluding GST, from fundraising account ñ $4 rebate per month Process in reconciliation: 1. Each quarter liaise with fundraising team on the transactions incurred (debits and credits). 2. Send information on those transactions incurred to Melissa from ASK together with the bank statement (e.g. cheques made payable to who, why and amount, which event relates to each cash and cheques deposited) 3. These amount should be listed in the spreadsheet used by the fundraising team to reconcile amount made with amount deposited in the bank. Investment at Call Account BSB: Account No: Customer Number: /CN02 Two signatories - Executive Committee members These funds are used to cover all staff leave entitlements (currently more than covers this balance) The committee may choose to transfer these funds into a term deposit to earn interest until the end of the financial year if/when required 2 Created 2014

3 Term Deposit: Account Number Customer Number: /2501. Two signatories - Executive Committee members Excess funds Matures February 2015 you receive notification from the bank prior to this Currently being used to fund MCCCC outsourcing & admin assistant until fee increases will cover this in approx 3 to 4 years time I have just instructed the bank to transfer any interest earned to our general cheque account (as per point above) this was previously compounding on the term deposit 3 Created 2014

4 2. Paying invoices (Operating Account) Purpose: To help guard against unauthorized payments which increases the risk and opportunity for the existence of fraud. Process: ñ Any large purchases(ie capital purchases) should be discussed and approved at committee meetings ñ Invoices received and verified ñ Payment organized ñ Payment documented ñ Reporting 1. Invoices received and verified Once invoices are received, one committee or staff member will sight and verify it as genuine by signing the invoice. This is evidence that amount is correct and goods have been received. No payments should be made without a properly approved invoice or supporting documentation (approval from committee meeting). 2. Payment organized Every payment (by cheque or EFT) is to be authorised by 2 executive members of the Committee. Outgoing Payments via cheques a) All cheques must contain two eligible signatures. Eligible signatories are executive members of the committee. b) Signatories cannot sign a cheque made payable to themselves, or a blank cheque. All details on the cheque form must be filled in before signature. c) The Treasurer will write a cheque to payee and sign it. d) The second signatory from the Executive committee signs the cheque. e) The Treasurer will write the cheque number and date paid on the invoice. They will also mark it as PAID, date and sign. Outgoing Payments via EFT a) The Treasurer authorizes the payment via (with security token if new payee). The token displays a new number (after you push the button) approximately every 30 seconds. The number is used to authorise payment. 4 Created 2014

5 b) On a weekly basis the Treasurer s the 2 nd signatory the invoices and alerts that payment is ready to be authorized c) The second signatory logs on and authorizes payment with their security token i(if needed) d) The Treasurer will write the date paid on the invoice and sign. NOTE: At the beginning of each month prepare a list of invoices paid for the previous month (as per Excel file ASK Transaction List Oct 2014 Sep 2015 ). The Treasurer should maintain a monthly list of accounts payable items listing payment method (if paid by cheque, write cheque number), transaction date, payee, amount and description. This spreadsheet is to be sent with the bank statement and other information relating to deposits (e.g. DEECD grant invoices, superannuation documentation) to A.S.K for reconciliation purposes and to obtain monthly financial reports. Cc the Fee Treasurer as the latter deposits fees into the operating account. 3. Payment Documented ñ All payments must be accompanied with invoices for verification purposes. ñ These invoices must be filed for audit and GST purposes. 4. Reporting ñ Management financial reports are prepared by A.S.K. and Treasurer shares this information at the monthly committee meetings. 3. Petty Cash - Direct Debit Account Purpose: To provide staff with ready cash for the payment of small incidental purchases. Procedures: ñ Used mostly for petty cash purchases (under $50) using the credit option on the debit card (Free transactions); ñ Staff to keep receipts and give to Treasurer; ñ Monthly reconciliation - Treasurer will collect receipts and add transactions into the monthly spreadsheet ASK Payment List Oct 2014 Sep 2015 together with purchases from the operating account. This will be send to ASK for monthly reconciliation. 5 Created 2014

6 4. Cash Handling Purpose: To ensure control and safekeeping of cash coming into the kindergarten. This is done by reconciliation of cash received and cash deposited at the bank. This reduces the incidence of fraud. ñ If not aleady banked, monies (cheque and cash) in the locked money box should be transferred into the safe on a weekly basis. ñ Staff are not to handle money relating to fees and fundraising ñ Cash and cheques are to be banked once a week. When fees are due or during a busy fundraising period(e.g. start of school year when merchandise are bought), cheques and cash should be deposited into the bank 2 times a week. Procedures for reconciliation purposes: Fees ñ Unless the Fee Treasurer is available to collect the monies, any cash or cheques received by hand or in the mail in relation to fees should be placed in the locked money box with details of these monies (i.e. waiting list form with $10 fee, enrolment form with $50 deposit, a receipt of the fees paid via the bank). ñ These monies should be transferred into the safe by the Fee Treasurer ñ The Fee Treasurer is to record the money received into a spreadsheet by documenting payor, date received, description (term fee/deposit/waiting list fee etc), and amount. ñ Receipts are to be written after details has been recorded into a monthly spreadsheet and before it is banked. Fundraising ñ Any cash or cheques received by hand or mail in relation to fundraising should be placed in the locked money box with details. ñ All monies deposited to be received by Fundraising Sub-committee members or delegates and recorded on a separate spreadsheet per fundraising activity documenting: date received, amount, received from, and a description (fundraising activity).this procedure will complement the register of details of each fundraising activity whereby any outgoing products etc are recorded as they are distributed ñ Receipts are to be written after details has been recorded into a spreadsheet and before it is banked. 6 Created 2014