Strategic Money Management for chapter treasurers Presented by Shannon Lands, SPHR

As Treasurer, what are my primary responsibilities? Accountable for all receipts and disbursements of the chapter funds. Responsible for maintaining adequate records that reflect the financial status and transactions of the chapter. KEEPING YOUR BOARD INFORMED!

What should I do to keep us on track? Budget Bank Statements Bookkeeping

Create a REALISTIC Budget The budget is going to guide you for the year. Compare your budget to your actual to see where you need to change things this year and next year. A budget is a GUIDE….not the law.

Keep up with your bank transactions Monitor your bank account Use online banking if possible Monitor credit card usage

Prepare Financial Statements at least monthly QuickBooks Online Excel Spreadsheet Also good to do some sort of cash statement

Let’s Answer Some Questions…….. How much money should we have in the bank? Although we are “not-for-profit”, can we make a profit? Are we financially prepared for the “unexpected”?

MONEY IN THE BANK………….. No written rules on this. Rule of thumb….minimum of 1 year operating expenses. Probably no more than 2 years. Diversify bank accounts if needed (remember the $250,000 FDIC limits). Keep minimum amounts in non-interest bearing accounts. Put your money where the interest is. Checking, Savings, CD’s.

IS IT OK TO MAKE A PROFIT? Yes!!…especially if you want to start saving for the “unexpected”. Profits are allowed as long as they are put back into the organization. “For non-profit organizations, earning must be dedicated to furthering the purposes for which they were organized.” THIS IS THE LAW! In order to GROW a chapter….you need to make some profit.

CAN WE HANDLE THE “UNEXPECTED”? Need to strategically plan for the future. (Don’t operate “hand to mouth”) Determine what your “unexpected” events are and have a plan should they occur: Hurricanes!! Dramatic loss of membership Cancellation of a revenue-generating conference or workshop

Good Resource: SHRM-Guide to Chapter Financial Management QUESTION TIME! Good Resource: SHRM-Guide to Chapter Financial Management