Finance Policy and Procedures
1. The Committee is responsible for;
... Safeguarding the assets of the Association
... Preventing Fraud
... Avoiding Mistakes
... Keeping financial records in accordance with the governing document and relevant legislation (e.g. Charities Acts).
... Preparing Annual Accounts in accordance with the governing document and relevant legislation
2. To enable the Committee to carry out these responsibilities, the Financial procedures detailed below must be always followed by all Committee members
3. A copy of this policy and procedures will be given to all Committee Members on their election/appointment to the Committee.
4. The policy and procedures will be reviewed annually by the Committee as revised as necessary.
a) Our Financial Year runs from March 31st to 1st April
b) Name of Bankers - Nat West Chelmsford
c) Name of Auditor/Independent Examiner - Alun Powell
a) All bank accounts must be in the name of the organisation.
b) No account may ever be opened in the name of an individual or individuals.
c) New accounts may only be opened by a decision of the Committee, which must be minuted.
d) Changes to the bank mandate may only be made by a decision of the Committee, which must be minuted.
e) The Association cannot accept cash.
f) All cheques must be signed by two signatories, including the cheque counterfoil.
g) The signatories are responsible for examining the cheque for accuracy and completeness.
h) The Treasurer is responsible for ensuring accuracy and completeness prior to transmission.
i) The signatories are responsible for examining the payment documentation prior to signing the cheque
j) Blank cheques should never be signed
Signatories to the accounts
i) Joyce Woodham (Vice Chairman)
ii) Barbara Thomas (Treasurer)
iii) Doug Harryman (Secretary)
a) An annual budget, setting out the organisation's financial plan for the year, will be prepared so that the Committee can approve it before the start of each financial year.
b) The draft budget will be prepared by the following two personnel:
a) A financial report will be prepared for every Committee meeting.
b) The financial report will consist of:
... Income and Expenditure
... Balance Sheet
c) Each Financial Report will be circulated to all Committee members and discussed at the following committee meeting.
d) The reports will be prepared by the Treasurer.
e) Financial Report must be presented at the AGM
Accounting and other financial records
The organisation maintains a computerised accounting system which records:
... Cheques received and banked
... Cheque payments, and other amounts paid from bank accounts
a) Every transaction will be entered in the appropriate book or spreadsheet and will include:
... The date of transmission
... The name of the person the money was received from or paid to and the full amount
... A brief description of why the money was received or paid
... An analysis of each amount under its relevant budget heading, where applicable
b) All documents relating to receipts and payments will be filed in the month they are input into the system.
c) A regular backup copy will be taken, saved to a CD ROM/Memory stick and a copy transferred electronically to the Chairman.
Authorisation and Payment
a) The Chairman, Vice-Chairman and Treasurer must approve the purchase of any item over £25.00.
b) No Committee member may authorise payment to themselves, their partner or relatives.
c) Invoices (or other receipts) should be matched and checked.
d) Before a cheque payment is made, it must be authorised in writing.
e) The cheque must be signed by two signatories, to include the cheque counterfoil.
f) No Committee Member may claim expenses without prior authorisation of the Committee.
g) Once payment has been made the invoice (or other receipt) should be marked "Paid", together with the cheque number and date.
h) All payments must be entered in the computerised accounting system only after being authorised.
Committee Members Expenses
a) Refunds of costs which a Committee Member has necessarily incurred to carry out committee duties can be paid.
b) Claims for expenses must be supported by receipts. Legitimate expenses are authorised travel on committee business, postage costs, stationery, and telephone calls necessary for running the Association.
c) It is not normal for U3A's (including the Association) to reimburse their committee members for travel or other costs associated with attendance at normal committee meetings. However, Association Committee members are not local to where Committee meetings are held, so should be allowed to claim travel expenses with the approval of the Committee.
a) Appropriate Insurance policies will be maintained to cover:
... Public Liability
b) An inventory of all physical assets of the organisation will be kept and regulated updated.
c) A copy will be kept off the premises at he address of the Treasurer.
This Financial Policy, and the Financial Procedures detailed above were agreed and minuted at a meeting of the Committee on:
Date: ........26th September 2018
Name: ...........Doug Harryman ...........(Signed copy held by Doug Harryman)
Position in the Association: ........... Secretary