Treasurer Responsibilities & Sponsorship Revenue HR Virginia Leadership - 2019 Brenda Madden, State Council Treasurer Meg Wagner-Diggs, Technology, Sponsorship/Partnerships This presentation is not to be construed as, or a substitute for, professional legal and/or financial advice.

Treasurer’s Responsibilities Receives and disperses funds in a timely manner Watch for email scams! Keeps financial records and documentation Checks P.O. box and distributes mail Sends dues notices and other invoices Reports financial status to Board at every Board meeting Files information with IRS Establish Guidelines Per SHRM New Board Orientation Presentation

Statement of Financial Position Required with annual filing of SHAPE Total Chapter Income for 2018_______ Total Chapter Expenses for 2018______ Net Profit/Loss for 2018__________ Total Chapter Assets as of 12/31/2018_______ (“Total assets” would include cash, CDs, money-market accounts, the value of other investments such as stocks or bonds, property owned by the chapter such as real estate, etc.) HR Virginia Financial Guidelines: https://www.hrvirginia.org/wp-content/uploads/2018/11/Financial- Guidelines-Travel-Reimbursement.pdf

Chapter Finances SHRM reserves the right to request a copy of your full financial statement to validate the information Ensure that you are signed up for direct deposit for Chapter Financial Support Payments (CFSP). Great Idea! Publish a financial statement for your membership. Operate in a transparent fashion. Remember, your members are looking for a return on their investment in the chapter as well.

On SHRM’s VLRC: SHRM® Guide to Chapter Financial Management https://community.shrm.org/vlrc/business-operations/chapter-business-operations/chapter-financial-management SHRM® Guide to Chapter Financial Management  Section 1: Introduction Section 2: Operating Considerations Section 3: Methods of Accounting and Financial Reporting Section 4: Internal Controls Over a Chapter’s Cash Transactions Section 5: Auditing Section 6: Financial Maintenance Questionnaire Section 7: Investments Section 8: Tax Filings Section 9: Unrelated Business Income Section 10:Lobbying Activities Section 11:Travel and Meal Reimbursement Section 12:Record Retention Guidelines Section 13:Appendix–Financial Maintenance Questionnaire

Know your chapter’s IRS classification IRS classifications based on nature of chapter’s activities IRS makes final determination Chapters are responsible for filing for their own status; may not use SHRM’s status or federal ID (TIN) Letter of Determination File original in a safe place A copy can be sent to SHRM Member Relations Department and State Council as a back up Non-profit not automatically tax-exempt May still have to pay state and local taxes

Tax Filing Requirements Every tax exempt organization must file an information return annually 990-N electronic postcard – gross receipts $50,000 or less 990-EZ- gross receipts <$200,000 and assets <$500,000 990- gross receipts >= $200,000 and/or assets >=$500,000 990-T Tax on Unrelated Business Income

Chapter Finances Additional Resources SHRM Guide to Chapter Financial Management, SHRM, (available online in the Volunteer Leaders Resource Center (www.shrm.org/vlrc) The Complete Guide to Managing Chapter Funds, Susan S. Vowell, CPA, 2000, ASAE Association Law Handbook, Third Edition, Jerald A. Jacobs, 1996, ASAE Association Audits from A to Z: A Guide for Volunteer Leaders, Andrew S. Lang, CPA, 2000, ASAE Director’s and Officer’s Insurance White Paper in the VLRC Archived webcast “Running Your Chapter Like a Business” with Karen Verrico, CAE Tax Compliance Guide, Jeffrey S. Tenenbaum, 2000, ASAE www.irs.gov

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