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TIPS FOR ALL PTA TREASURERS
These are basic guidelines that should be followed by every PTA treasurer to ensure the unitís money is handled properly. More detailed explanations can be found in Dollars and Sense, the NC PTA Treasurerís Handbook (in the NC PTA Unit Packet).
General Information
...The PTA bank account must be separate from the schoolís account or any personal account. Only PTA money should be deposited in a PTA account. The accounts should be listed under the unitís EIN number, not a personís social security number. This number can be found on the unitís bylaws or by calling the State Office at 1-800-255-0417.

...There MUST be two signatures on every check.

...Money should always be counted in the presence of at least two persons with both signing the receipt.

...All income should be deposited in the bank as soon as possible and not kept in someoneís home or left in the school.

...Never sign a blank check.

...Never pay with cash Ė always by check.

...A budget must be approved by the full membership. No expenditures can be made unless authorized in this budget or approved by a vote of the membership.

...Send membership dues to the State Office by November 15th and March 15th.

...Maintain accurate records. Require check requests and receipts for all expenses. Give receipts for all money received from the membership and fundraising chairs.

...A treasurerís report should be given at every meeting along with a copy of the latest bank statement. A full annual report should be given at the end of the year. These reports can be copied and handed out at PTA meetings.

...A financial review of the financial records MUST be done EVERY year, even if the same person continues as treasurer. This is to protect the incoming and outgoing treasurer, as well as the unit.

Federal Tax Information
Every PTA must have a Federal Employer Identification Number (EIN). It can be found on the unitís bylaws and should be used on all bank accounts and tax forms. Check with the State Office to verify your number or to obtain Form SS-4 to apply for one.

A PTA is automatically included under NC PTAís tax-exempt status if it has (1) an EIN number and Statement of Authorization filed with the State Office, (2) up-to-date bylaws and (3) dues paid on time.

Treasurers must file a Form 990 if the unitís gross income exceeds $25,000 a year. Gross income is money that comes from ALL sources. Failure to report can result in a penalty.

If your unit received a Form 990 from the IRS, but did not gross over $25,000, the treasurer is still required to respond.

State Tax Information
A PTA is exempt from state income and franchise taxes if it is part of the State PTA group exemption as stated above under Federal. This means that a PTA can receive refunds of NC sales tax paid on PTA purchases by filing Form E-585 with the NC Dept. of Revenue. Sales receipts must be kept for documentation.
Raffles and bingo games are legal if the proper procedures are followed. (See Dollars and Sense)
Incorporation
NC PTA recommends that PTAs become incorporated to protect the individual PTA officers from being personally liable in the event that the PTA is sued. Application should be made to the NC Secretary of State and involves a one-time $40 fee.
The Whys & Hows of PTA Financial Reviews/Audits
PTAs are required by their unitís bylaws to hold an annual financial review/audit of the PTA books. Any time a treasurer is replaced, whether through election or resignation and a new person takes the books, a review should be performed. This is to protect the new, as well as the past treasurer, and the unit.

The financial review may be handled by a committee or by a CPA who is willing to help the unit. The person(s) involved in the review should never include someone who has been involved with the handling of the PTA money, i.e. those whose signatures are on record at the bank.

What does the Financial Review Committee need?
1. A copy of the previous yearís review
2. A copy of the budget and all amended budgets
3. Copies of all financial reports given at each meeting (board and general)
4. The PTA checkbook
5. Bank statements with canceled checks, deposit slips
6. Voucher/receipt for all checks and deposits
7. A check ledger that shows a running account of each transaction
8. Copy of all meeting minutes (board and general)
9. Your local unit bylaws

Review Irregularities. If a Financial Review Committee/Person finds irregularities in the records of the treasurer, the first line of contact is the treasurer for additional records or information. If the matter cannot be settled to the committeeís satisfaction, they should contact the president to see what additional steps should be taken. The president should contact the District Director and/or the State Treasurer for assistance. All of this is a confidential matter and should not be discussed with anyone other than the people listed above. If it is and the irregularity is a misunderstanding, the person doing the telling has ďopenedĒ him/herself up to libel or slander charges.

Financial Review Report. The Financial Review Committee/Person should prepare a statement indicating the outcome of the review. It should be signed by each member of the committee. The report should include:
1. Date of review
2. Past balance on hand (date of last review)
3. Receipts (from last review to date of current review)
4. Total cash
5. Disbursements (from last review to date of current review)
6. Balance on hand (date of review)
7. Last bank balance statement
8. Checks outstanding (listed by check number)
9. Total checks outstanding
10. Balance in checking account
11. Statement on review findings
12. Reviewer(s)ís signature

The Financial Review should be presented for adoption at the first general PTA meeting after the start of the next fiscal year.

Pages in our site
 Home Page
Welcome to our Organization : bookmark this page
 Organization Calendar
Events for Organization
 What is a Council?
Information about the Council
 Presidents
Tips for being a successful president
 Message from the President
Message from the President
 Treasurers
Tips for all Treasurers
 Council Officers
Council Officers
 Bylaws
Questions & answers about your bylaws
 COUNCIL CONNECTION
Our newsletter
 PTA & Fund Raising
Discusses PTA's view of fund raising, sponsorship, & endorsements
 Links
Check out our favorites
 Just for Parents
Information for parents, as well as PTA members.
Pages in our site
 Home Page
Welcome to our Organization : bookmark this page
 Organization Calendar
Events for Organization
 What is a Council?
Information about the Council
 Presidents
Tips for being a successful president
 Message from the President
Message from the President
 Treasurers
Tips for all Treasurers
 Council Officers
Council Officers
 Bylaws
Questions & answers about your bylaws
 COUNCIL CONNECTION
Our newsletter
 PTA & Fund Raising
Discusses PTA's view of fund raising, sponsorship, & endorsements
 Links
Check out our favorites
 Just for Parents
Information for parents, as well as PTA members.

 
 

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