Lisa Murfield, MBA, SPHR, GPHR HR Tampa, Inc.

 Role of Chapter Treasurer  Chapter Financial Management  Chapter Financial Strategies  Policies and Procedures  Resources

SServe as Financial Officer and Advisor AAssess financial implications or proposed actions of BOD OObserve financial direction of chapter RRecognize potential problems and inform BOD AAct as trustee and financial agent for all funds FFile appropriate forms with IRS

DDisburse funds for normal and usual uses PParticipate in short- and long-term strategic planning AAttend all monthly membership and BOD meetings RRepresent chapter in human resources community

 Accounts ◦ Checking  Interest bearing account if possible  Be familiar with routing numbers ◦ Savings  Investments and CDs ◦ Bank/Debit Cards  Bank Statements  Online capabilities  Keep copies for 7 years  Cancelled Checks  Hard copies v. electronic

 Account Reconciliations ◦ Investigate discrepancies immediately ◦ Perform on a monthly basis ◦ Second review done by a non-financial officer  Check Signing Cards ◦ Obtain from your financial institution ◦ Establish signature authority ◦ Signature dollar limits  Deposit Stamp ◦ Account name and number ◦ “For Deposit Only”

 Software ◦ QuickBooks  Online capabilities  Free trial at ◦ Quicken ◦ Excel ◦ Access  Professional Accountant

 Chart of Accounts  Cash v. Accrual Method ◦ Cash – recognize income and expenses when cash flows in and out of account ◦ Accrual Method – recognizes income when it is earned and expenses when liability has been incurred  Balance Sheet ◦ Assets = Liabilities + Equity  Income Statement  Profit and Loss Statement

 Receipts must exceed payables  Know your current cash status  Do not write checks unless you have: ◦ Prior approval from BOD ◦ Invoices from vendors ◦ Check request form with receipts attached  President signs off on request forms ◦ Receipts for completed travel expenses

 Write checks as soon as possible after documentation received (i.e. one week)  Record in checkbook or general ledger in a timely manner

 All deposits should be made as soon as possible (i.e. one week)  Deposits should be recorded in a timely manner into checkbook or general ledger  Attach copies of checks to deposit slip and file

 Create an specifically for Chapter Treasurer correspondence through Yahoo or other provider  Place completed W-9 on your website (Request for Taxpayer ID Number and Certification) for vendors  Create special section on website for BOD

 Incorporation ◦ Provides protection to members and BOD from personal liability  Not for Profit – incorporation status under state law ◦ Organizations benefit members and public rather private individuals ◦ 501(c)3 or 501(c)6  Tax Exempt – federal income tax exemption under IRS code ◦ Exempt from paying corporate federal income tax on income generated from the activities of the association  Employer Identification Number (EIN) or Federal Tax ID

 Tax Filings ◦ Annual Tax Filing – Not for Profit  No return – Gross receipts under $25K  Form 990EZ – Gross receipts more than $25K but less than $100K  Form 990 – Gross receipts over $100K  Forms due the 15 th day of the fifth month after the chapter’s year-end  Extensions of three months may be granted ◦ Payroll Taxes  Quarterly Payroll Returns (Form 941)  Annual Report for Corporations

 Insurance ◦ Directors & Officers Liability Insurance ◦ Fidelity Bonds

 Mail Call ◦ P.O. Box  Secures checks and other documents in one location ◦ Office/Home address of Board member  Changes each year  Documents can be lost  Be Proactive ◦ Stay on top of paperwork ◦ Document and back up everything! ◦ Treat the chapter’s money as if it is your own

 Be a Strategic Partner ◦ Budget v. Actual Budget  No budget in place – take the initiative and create one for your chapter  Be the financial advisor/conscience to keep chapter on track  Provide updates to Board and Chapter ◦ After chapter events, provide accounting to BOD (i.e. Profit and Loss Statement)  Monthly Meetings  Chapter Conferences  Fundraisers ◦ Provide historical comparisons  Membership renewals

 Where are the Chapter records housed? ◦ Storage area or Board member’s home or office  Label boxes with records they contain  Mark each box with discard date  Maintain inventory list of Chapter’s records/equipment/materials ◦ Data Imaging  Store in safety deposit box

 Chapter Financial Support Program ◦ Returns a portion of SHRM national dues to chapter per member ◦ Can be direct deposited into your chapter’s account  As of 2012 – Direct Deposit will be mandatory  100% Chapter  $6.25/quarter or $25/annually  Non-100% chapter  $5.00 twice a year or $10/annually

 A monthly sponsor backs out  A board member submits receipts for unauthorized expenses  A board member insists on payments without receipts  A board officer presents a substantial receipt for payment without the vote of the board

 Bring any questionable situation to the attention of the president, another officer and/or Board  Clearly identify who has the authority to commit Chapter funds  Clarify when the Board needs to vote on an expenditure  Ensure internal controls are in place to protect the finances of the Chapter  You, as Treasurer, will be held ultimately responsible

 SHRM Volunteer Resources ◦  Chapter Position Descriptions  SHRM Guide to Financial Management  SHRM Leaders Guide  Chapter Treasurers  IRS website   Managing Chapter Funds – Susan Vowell  Lisa Murfield –