TREASURER

Before a new (or returning) treasurer takes possession of the books, an audit of the previous year’s financial books should be audited. This audit can be done by a committee appointed by the president (usually 3 people), or by a professional, once the books are closed for the year. Signers of checks of the past or new boards cannot audit the books. The president assigns the audit committee for the year. A copy of the audit should be completed by August 15th and sent to the Kentucky PTA office. See the Kentucky Leaders’ Guide for a form.

Duties of the treasurer upon receiving the books:

  • Change account signatures with the bank. (It’s good to have 3 authorized signers).
  • Buy bonding insurance for your officers—see the Kentucky PTA’s Leaders Notebook.
  • Read the National PTA Money Matters Quick Reference Guide.
  • Obtain the financial section of the Kentucky Leaders notebook.
  • Study your PTA’s bylaws and standing rules and follow them!
  • Meet  with your budget committee. (The treasurer is the chairman of this committee.) As a committee, decide on a proposed budget  for the year.
  • Present  the proposed budget to the board and the general membership (distribute copies for everyone); obtain approval from the executive board and then the general membership for the coming year’s budget. It’s important for the budget to be approved at the first meeting of the year, or as soon as possible.
  • At the first general meeting, be sure to report to the general body that an audit of last year’s books has been completed, and supply a copy of last year’s budget, and year-end financial results in order for a comparison to be made with this year’s budget.
  • Prepare a voucher form for your board to use for reimbursement of authorized expenditures.
  • Train your board on the proper procedures for reimbursement, check requests, and counting money. Make sure each board member has all of the appropriate forms for the these processes.
  • Redbook guidelines effective July 1st 2013 restrict check signers and money counters. K.D.E. Accounting Procedures for School Activity Funds.

Treasurer’s duties throughout the year:

  • Provide an up to date treasurer’s report at each board meeting and general meeting.
  • Never sign a blank check
  • Pay all bills by check, never by cash. (Even small purchases!)
  • Deposit funds promptly.
  • Prepare and keep financial records.
  • File IRS Form 990 must be files if your PTA grosses more than $50,000 and Schedule A and B when applicable by November 15th.
  • E-Postcard must be filed if PTA grosses $50,000 or less by November 15th.
  • Keep state and national dues separate from other funds and send dues payments to the state office by the 15th of each month.
  • Do not write checks for items not in the budget, before obtaining  approved  by the board and/or general body.
  • Maintain a minimum of 10 general members.
  • Do not sign checks written to yourself. (The president and check signers shouldn’t sign checks written to him/her.)

Important points to remember:

  • The treasurer should give a financial report, and show a financial statement at every board meeting with a current bank balance shown. If a report is not given, board members have a right to ask for one.
  • Board members should be reimbursed for their expenses—if  original authorization forms have been completely filled out, with original receipts attached—no checks should be written to cash or without a receipt.
  • Only bonded members should handle money and two would be best.
  • Checks should always have two signatures.
  • Board members should count and give monies to the treasurer all PTA money turned over to them as soon as possible.
  • The treasurer should immediately re-count money deposited to them and a receipt should be given to the counters for all money turned in. Chairmen should keep the receipts in their procedure books.
  • Note: You may purchase a dual key depository drop safe for PTA to be mounted to wall in PTA office area (be sure this is budgeted and approved by the board).
  • If money cannot be given directly to the treasurer, or if the treasurer cannot take the money directly to the bank, it’s best to keep it in a locked box. A school employee should not be asked to put money in the box, or the school safe.
  • Be aware of the PTA’s tax-exempt status. PTAs should not have to pay taxes on most purchases. Each local unit may determine if sales tax may be reimbursed.
  • Remember A14300 is the PTA’s tax exempt number (different from the number used by JCPS).
  • Recognition vs. endorsement—PTAs can thank businesses for their donations, but should not endorse their business.
  • PTA money and only PTA money should be deposited into the PTA account.
  • PTA money should not be deposited in any other account, or taken home.
  • Don’t do games of chance! Bingo, raffles…It is illegal for your PTA to conduct a game of chance without the proper license or exemption from the Kentucky Department of Charitable Gaming. Games of skill are not considered gaming, games of chance are.
  • Don’t use fundraiser/event cash to pay any expenses. Always pay or reimburse with written checks.

PTA Must Do’s to be a “Unit in Good Standing”

  1. Adhere to the purposes and basic polices of PTA;
  2. Pay 15th District PTA, Kentucky and National PTA dues as required.  One payment MUST be made on or before October 15th of each year;
  3. Review treasurer’s books and submit the PTA financial review form to 15th District PTA and Kentucky PTA by August 15th ;
  4. File 990 with the Internal Revenue Service by November 15th and send copies to 15th District PTA, Kentucky PTA;
  5. Have bylaws approved by the Kentucky PTA every five (5)  years;
  6. Have an IRS Employer Identification Number (EIN) on file at the 15th District PTA and Kentucky PTA office; and
  7. Maintain a minimum of ten (10) members.
  8. Have insurance (liability and bonding) purchased at the beginning of the year

Forms

Treasurer Request for Payment Form

Treasurer Deposit Summary Form

Treasurer Funds Received Form

Financial_Review_Form_2017_2018

Purchase Tax Exempt Form

Treasurer Budget Template