TREASURER BEST PRACTICES

All clubs should address the risk of misappropriaon of funds and establish controls to ensure

the receipt and expenditure of club funds are properly recorded.

CPAs and accountants are good candidates for the club treasurer ocer posion, but not

required.

A subscripon for QuickBooks Online is provided by the Alumni Associaon to track nancial

transacons. All clubs are required to maintain current bank balances in QBO and reconcile

bank statements on a regular basis.

Bank accounts should be set up under the club’s Employer Idencaon Number (EIN), not

under a club ocer’s Social Security number. Clubs can apply for an EIN at

hp://1.usa.gov/1HEt1Zp. The process is simple, quick and can be done enrely online.

Dual signatures should be required on all checks. If dual signatures are not required on all

checks, a dollar limit should be set by the board that would require dual signatures.

Remember that when ocers change in a club, the nancial instuon must be advised and

signers for the account changed.

It is recommended that copies of bank statements be uploaded into QuickBooks for safe

electronic ling of documents.

Bank reconciliaons should be prepared by the treasurer monthly. The

board should review and sign o on the bank reconciliaons at all

regular club board meengs.

Bills for a club can be presented to the treasurer as a cash register

receipt that has already been paid or as an unpaid invoice where the

treasurer pays the company directly. The treasurer should never pay an

expense unless there is a receipt or invoice. All expenses should have the approval in wring of

the president or vice president of the club.

Receipts or invoices should include date, name of individual or company being paid, dollar

amount, check number and an indicaon of the expense (e.g., equipment rental, postage,

catering expenses for a specic event, etc.) It is recommended that copies of receipts and

invoices be uploaded into QuickBooks for safe electronic ling of documents.

When receiving an unpaid invoice the treasurer should pay the bill within two weeks.

TREASURER BEST PRACTICES

The treasurer should keep separate le folders for bank statements, canceled checks,

invoices and receipts, deposit slips, cash receipts and nancial reports. A separate set of les

should be kept for each year. Club records must be kept for no less than four years.

It is recommended that all documents be uploaded into QuickBooks for safe keeping and

easy access for future reference.

 All clubs should receive payment via PayPal, cash or check.

PayPal sends electronic receipts for all payments. In the

instance where the club collects cash or check, a receipt should

be issued for the amount received.

 PayPal accounts should be shown in QuickBooks as a separate

account and can be linked for easier reconciliaon.

 A receipt should indicate: cash or check payment, the date, who the

money is from, what the money is for and the dollar amount. The sum of the cash and

checks should be equal to the bank deposit. Cash and checks that are received should be

deposited the next business day.

Write receipts in a club receipt book. The original receipt is handed to the person who pays

you and the carbon copy is the club’s copy that is to be kept in the book.

When checks are received make sure they are made out properly to the club. Checks

should not be made out to an individual. In the event this happens, make sure the individual

signs the check, then write on the back of the check "For Deposit Only to the Credit of

(Name of Club)."

Clubs may need to use cash for small payments,

where it is impraccal or unreasonable to use a

check or change at events. A separate pey cash

account in QuickBooks is recommended to record

the cash transacons for easier reconciliaon. This

balance gure should be checked against the actual

cash in the cash box. If there is any discrepancy, it

must be resolved immediately.

TREASURER BEST PRACTICES

1. At events, take cash at one

place only.

2. Always use paper receipts for

cash and check transacons. This informaon is

essenal in creang a budget, and it is smart policy to

keep records to control your nances.

3. It Takes Two. Always have two people present

whenever cash is around. Likewise, always have at

least two people on hand when cash receipts are counted. Aer the cash is counted, have the

counters each inial a form cerfying how much money is being turned over to the treasurer.

Documents conrming deposits should be presented at the next board meeng.

4. Never let cash — or any receipts — sit for a few days. Receipts

should be deposited as soon as they are counted, cered and turned over to the treasurer.

If your event is at night, lock the money in a safe place and deposit it in the morning. Make

note of the income line item and amount that is included on deposit slip for future reference.

When possible upload copies of checks deposited into QuickBooks.

5. Never take IOUs. Always take money for events, merchandise, etc. up front.

Do not deposit club money into your personal account and then write a check to the group

for the same amount. Never oat a loan to the group and then take the money out of cash

receipts as repayment.