CALVIN COLLEGE OFF-CAMPUS PROGRAMS FINANCIAL SERVICES MANUAL

Transcription

1 CALVIN COLLEGE OFF-CAMPUS PROGRAMS FINANCIAL SERVICES MANUAL SECTION ONE: Policies and procedures for off-campus interims/semesters Page Number 1. Financial Management prior to departure: Tips and procedures for making a budget for your OC semester... 2 Tips and procedures for making a budget for your OC interim... 2 What is in/what is out, when making an off-campus interim budget How much shall I budget for contingencies? Witte vs Carlson Budget Philosophy: Confirm the cost of your interim How should you budget for the following... 3 Student assistants: Family members assisting on the interim Student drivers Transport to/and from the airport for interims Billing procedures... 4 Visitor policy. Guidelines for spouse travel and billing Using a Terms and Condition sheet Deposits: Bill adjustments: Student cancelations: Financial Services Policies... 5 Account numbers. Guidelines for making expenditures Admin Fees & charges: Budget officer Process for Off-Campus Budget Expenditures sign-off: Methods for paying for costs in advance... 7 Cash advances Credit Cards: Wiring money to cover expenses: Information needed to wire money Foreign currency. 2. Financial management while off-campus Best methods of making payments... 8 Using personal or friend accounts to manage money... 8 Documenting expenses... 8 Getting receipts: Organizing receipts: Using a Receipt Book: Documenting Lost Receipts: Clearing expenditures: Student stipends... 8 Dealing with health emergencies (minor or major) Financial management upon your return. Interim refunds... 9 Reconciliation of all expenses... 9 Budgeting for group parties after you return... 9 Over Budget... 9 Year-end IRS reporting requirements... 9 SECTION TWO: Appendices/Forms

2 Calvin OCP Financial Policies & Procedures 2 SECTION ONE: Policies and procedures for off-campus interims/semesters FINANCIAL MANAGEMENT PRIOR TO DEPARTURE: Tips and procedures for making a budget for your OC semester. Whereas off-campus interim instructors are expected to create their own budget, the Director of OCP creates all semester program budgets and then works with each program director to manage the budget. OCP staff and program directors meet prior to the departure of each semester program to review the budget and discuss strategies for keeping the overall program under budget over the course of the semester. Tips and procedures for making a budget for your OC interim. What is in and out, when making an off-campus interim budget: What to include: o Logistical support required to plan and implement the off-campus interim (e.g. copying, student assistants, mailing, long distance calls, additional staffing). o All variable costs of the interim airfare, lodging, food, admissions, visas, supplemental travel insurance ($50/student), admins costs ($100/student), etc. o All variable fixed costs: buses, guest speakers, instructor expenses (lodging, transportation, etc). o Contingency Costs. What not to include: o Faculty salaries (covered by the college). o Personal expenses related to the interim (e.g. purchasing a new suitcase for the trip) (should be covered by the faculty member). How much shall I budget for contingencies? Typically, Calvin asks you to budget between 5 and 10% of the overall costs of the interim for contingencies. For newer interims (and interims where you (the instructor) are setting up most of the itinerary) plan on a larger contingency closer to the 10%. Contingencies include: last minute visa issues or airport fees, medical emergencies, a crisis that demands you spend more or less time in a certain location, airline issues, less students than expected taking the interim, etc. Witte vs Carlson: Use Witte when you are planning package tours (airfare, lodging, ground transportation, and meals) or want some additional value added services. Use Carlson when you are only booking flights. Budget Philosophy: The tension in creating budgets is our desire to keep costs as low as possible for students while also making sure the college are covering all costs for the program. Currently the following policies are in place as they pertain to budgeting for either off-campus interim and semester experiences.

3 Calvin OCP Financial Policies & Procedures 3 For interims: All expenses (except faculty salary and benefits as well as college overhead) are budgeted into the cost of the interim. Student fees are derived by dividing the total costs of the interim divided by the number of students participating. If the interim course comes in under budget the surplus funds are given back to the student. If the interim comes in over budget, students are charged a surcharge to cover these additional expenses For semesters: All expenses are budgeted into the cost of the semester. Student fees are derived by dividing the total cost of the semester with the number of students participating in the semester. Overhead is based on 13% of the college tuition for the semester. At the conclusion of the program, if there is a surplus or deficit no money is refunded or collected by the college. If the cost of the semester is less than tuition, room and board cost (21 meal plan) of the same semester at Calvin, the student will pay the cost of Calvin s tuition, room and board (21 meal plan). If the cost of the off-campus semester is greater than the cost of tuition, room, and board for the same semester, the student will pay the actual cost of the program. Confirm the cost of your interim: Once your interim has been approved please review your budget and make sure the fees posted on HORIZONS (on-line application process) & the OCP website are correct. If the price changes in any way, please let the OCP office know immediately. How should you budget for Student assistants: Types of positions: o Student planner/recruiters in the fall o Student drivers o Student tutors o Students providing special skills during the interim (Wilderness First Aid, accounting, etc) Paying students assistants. o In most cases, you should follow the same procedures of hiring students on-campus. Students need to complete the necessary paperwork, be cleared to work by payroll, and fill out their timesheets on a weekly basis. o In some cases, if students will perform a specific function for the interim they can be offered a stipend or a credit to lower the cost of the experience. If you are interested in exploring this option you should contact the OCP office and discuss if and how this would be possible. o Regardless of which option used, all costs associated with student assistants must be covered by the fees from your interim. Family members assisting on the interim: See information under billing procedures for billing family members joining the interim. If you have questions related to

4 Calvin OCP Financial Policies & Procedures 4 family member getting paid for assistance during your interim please discuss with the Director of OCP. Student drivers: If you plan to use student drivers during your interim, remember that all student drivers should: be at least 21 years old, have completed the on-line driver certification, and should know if they will be compensated or if they are assisting the group to keep costs low for everyone. If drivers are to be compensated please the process for paying student assistants (above). Transport to/and from the airport for interims: Grand Rapids: Typically interims leaving directly from Grand Rapids meet at the airport and students are responsible for getting themselves to the airport. Chicago and Detroit: For interims departing from Chicago and Detroit, the following options exist. Information on both options can be found at: o Bus: Rented through Transportation Services within the Physical Plant and include a contract with the bus company (contracts include all costs: for bus, bus driver, and gas). These costs must be included in the overall budget of the interim. o Vans (12 passenger): Rented through the Physical Plant, interim instructors are responsible for finding their own driver, contact the OCP office for assistance. Costs include the rental of the van, paying a driver, and gas. In August 2017, the average cost of one round trip to Chicago and Detroit is approximately $250 (includes van rental, driver, and gas). Remember that you need to drop-off and later pick up students so the total cost is approximately $500 per 12 passenger van. Billing procedures: Visitor policy. Billing procedures for all visitors (student and non-students can be found at the following webpage: Family members (e.g. spouse): Guidelines for spouse travel and billing can be found at the following webpage: Using a Terms and Condition sheet faculty are required to have students complete a terms and condition sheet prior to spending large sums of money on the student (e.g. airfare). By signing the Terms and Conditions Sheet, student commit to cover the costs of participating even if they withdraw from the course. A Terms and Conditions Template (that can be modified to fit your needs) can be downloaded from the following webpage: Deposits: Do not collect and hold deposit checks!

5 Calvin OCP Financial Policies & Procedures 5 Have students make deposits to Financial Services so that they can get a receipt. When making a deposit students will need to know the course number of the interim. If you need confirmation that a deposit can be made you can request that students bring you a copy of their deposit receipt. If for some reason the college or instructor does not approve the student for the interim the deposit can be returned. If for some reason the student withdraws, he or she must pay for all costs spent on the student that cannot be recovered. The deposit may be refunded as per the terms presented in the Terms and Condition Sheet. In cases of extenuating circumstances, please consult with the OCP office in making decisions about deposit refunds. Bill adjustments Scenarios where we need to bill costs to student accounts o Medical Issues: If a student has a medical issue while off-campus (especially internationally), Calvin will often help with the initial costs of medical treatment. If this happens please keep all receipts and we can bill the student upon your return. The OCP office can also help start the insurance claim process with students. o Travel changes/arrangements. Students who deviate from your Grand Rapids to itinerary Student cancelations: When a student withdraws from an interim or semester, he or she must pay for all costs spent on the student that cannot be recovered. The deposit may be refunded as per the terms presented in the Terms and Condition Sheet. In cases of extenuating circumstances, please consult with the OCP office in making decisions about deposit refunds. Financial Services Policies: Interim Account numbers. Account numbers will be assigned in late April for interims the following year (January & May). Guidelines for making expenditures for off-campus interims Whenever possible wait until you have enough students to assure the interim will proceed as planned. Rosters are finalized with you have a terms and condition form signed by each student as well as a deposit.. Whenever possible wait until the new fiscal year (July 1) before making large expenditure associated with your interim (e.g. airfare, lodging, event tickets). When advances or expenditures are needed before students have applied, consider having a back-up plan for covering the expenditure if the interim is cancelled due to low enrollment. If you know that you want to make advance purchases in the summer prior to your interim, you should consider having a spring application deadline, requiring students to sign a terms and condition sheet recognizing they are responsible for any costs incurred on their behalf to assure you have adequate student interest.

6 Calvin OCP Financial Policies & Procedures 6 Admin Fees & charges: Admin fee: This fee assists in covering the indirect costs of supporting offcampus interims. These costs include the efforts of the following offices: Travel Services, Off-Campus Programs, Health Services, Academic Services, Broene Center for Counseling and Wellness, Financial Aid, and Financial Services. Although different interims make varied use of the support services listed above, all interims will be charged this fee. The fee for semesters is $400 and for interim is $100. Supplemental Travel Insurance: This fee helps cover the costs of the Blanket Travel Policy for all faculty, staff and students traveling internationally on college business. This fee is only assessed on international interims and semesters. The fee for semesters is $130 and $50 for interims. Budget officer: The Director of Off-Campus Programs serves as the budget officer for all off-campus interims and semester. The reasoning behind this process is multifaceted and include: Centralizing and streamlining the process for signing off on budget expenditures for instructors and for financial services. Encouraging a closer relationship between interim instructors and the offcampus programs office related to budgets but also to the overall operations of interims. Reducing the load on Department Chairs and the Provost Office in the signoff process Process for Off-Campus Budget Expenditures Sign-off: Budgets submitted to the interim committee will be copied and stored in a notebook in the Off-Programs Office. Any major revisions to your budget will need to be shared with the Off-Campus Programs Office as soon as possible, this includes changes in the overall number of students traveling for your interim. All wires, college credit card transactions, invoices, and cash advances will need to pass through the OCP office for budget officer approval. Any document needing budget officer approval can be brought to the OCP office and the OCP program will sign and deliver to Financial Services for payment within 24 hours. All check and wire requests will be processed within two days of Financial Services receiving the request, unless information is incomplete.. All forms must be signed by two people (purchaser and the budget officer) and have appropriate documentation (e.g. receipts, vouchers, etc). Any changes in the overall costs of the interim for students must be communicated to the Off-Campus Programs Office. If the billing amount for students changes at all please let both the Off-Campus Programs Office and the Financial Services Office know as quickly as possible.

7 Calvin OCP Financial Policies & Procedures 7 Methods for paying for costs in advance Cash advances can be obtained from Financial Services. Please keep a ledger and receipts to accurately account for all money provided by Calvin. Credit Cards: Use your credit card whenever possible because the statement will come back to Calvin. You must keep receipts and return them with your statement... Wiring money to cover expenses. If an organization is able to invoice you for expenses of the group, you can then wire money directly to the organizations bank account. Information needed to wire money into a personal or organizational account: (Wiring money usually takes a few days) Bank Name and Address Name on the Bank Account (John Calvin) Beneficiary s address IBAN Account Number (International Bank Account Number) for European countries. OR Bank Account Number; and Swift Code: This is a standard format of Business Identifier Code approved by the International Organization for Standardization. It is unique for each bank account. You should be able to get this number from your bank. Foreign currency: Financial Services can obtain cash advances in foreign currency given enough lead time (7 to 10 days). These advances would be treated like all cash advances, please keep a ledger and all receipts and return all unused money. Please note Financial Services does NOT like holding foreign currency so you should do your best to spend all foreign currency rather than returning this with your cash advance reconciliation. FINANCIAL MANAGEMENT WHILE OFF-CAMPUS Best methods of making payments: Whenever possible please use credit cards and wires for paying expenses as this provides additional documentation to the management of funds for the interim or semester. Using personal or friend accounts to manage money: One bank account, two purposes, it can be confusing but it is doable. Before you leave on your interim or semester, set up all money wired to you from Calvin as a cash advance, keeping a ledger and receipts to accurately account for all money provided by Calvin. Documenting expenses Getting Receipts: Whenever possible remember to obtain documentation for every expenditure that you make related to your interim or semester.

8 Calvin OCP Financial Policies & Procedures 8 Organizing Receipts: Please organize your receipt in a way that works for you. For example, numbering your receipts (by month). If you are not able to save a receipt, consider taking a picture of the receipt with your phone. Photo receipts are acceptable documentation when verifying expenditures. Using a Receipt Book: These books are available from the Campus Bookstore or the Off-Campus Programs Office. If you do not get a receipt (e.g. tips, taxis, other cash expenditures), please create a receipt by using a receipt from the receipt book. Please sign the receipt and if possible obtain a second signature on the receipt. Documenting Lost Receipts: If you lose a receipt, please create a receipt by writing on a piece of paper the following information: date, amount, description of what the expense is, and why you don t have a receipt (e.g. lost, destroyed, etc) and then sign the paper. Clearing expenditures: All expenses should verified in the month after the expenditure took place. For semester programs, the OCP office will assist with this process. Student stipends. If you distribute money to students, make sure to get a signed statement to verify the amount distributed. This will serve as your receipt (and documentation for this cash. Geneva Interim Aug-17 I received $150 as a food allowance: Student Name Signature John Calvin ]É{Ç VtÄä Ç Michael LeRoy ` v{txä _xeéç Dealing with health emergencies (minor or major) If a student has a medical issue while off-campus (especially internationally), Calvin will often help with the initial costs of medical treatment. If this happens please keep all receipts and we can bill the student upon your return. The OCP office can also help start the insurance claim process with students. FINANCIAL MANAGEMENT UPON YOUR RETURN. Interim refunds: Do not promise refunds to students before your accounts are reconcile. Refunds will be posted in late April or sooner if the reconciliation process is complete. Reconciliation of all expenses: Reconciliation of all expenses should happen as soon as possible after you return. This process does take some collaboration between Financial Services and the

9 Calvin OCP Financial Policies & Procedures 9 instructor, so start early.. For January interims, all reconciliation of expenses should be done by spring break. For May interims, accounts should be reconciled by 6/30. Budgeting for group parties after you return: If you need to budget for a reunion after you return to Calvin, you can put a placeholder in place and sill reconcile all other accounts. Over budget: If an interim goes over budget, students will be charged a surcharge to cover this overage unless other revenue sources can be found to cover the shortfall. Year-end IRS reporting requirements: If at any point you have more than $10,000 in a foreign bank account, you must file a form known as The report of Foreign Bank and Financial Accounts TD F This form is available from the IRS website ( The report is not a tax return, but is submitted at the same time as your tax return. Anyone who has signatory authority over a foreign bank account must inform the IRS by filing the form and adjusting their personal tax return on Form 1040, Schedule B, Part III and selecting the appropriate box. The deadline for filing this form is on April 15 th. Please note that Form should not be filed with your tax return. See the IRS website for filing directions. This is the bank holder s responsibility but Financial Services is available to assist at the bank holders request.. SECTION TWO: APPENDICES/FORMS A. Cash advance forms must be picked up from the Financial Services office. B. Wire Transfer Request Form can be downloaded at: C. Cash reimbursement (Internal Check Request) can be downloaded at: D. Terms and Conditions template can be downloaded at: