1. Welcome to Unit Accounting 101

2. Unit Accounting 101 Changes to Paymaster Manual
Page 5: Regarding Paymaster qualifications--Cannot be related to, married to, live with, or in a relationship with the Commander. This, to maintain the integrity of the Paymaster / Commander position since the Paymaster reconciles the account and verifies that all funds are being spent appropriately. The Young Marines independent auditor does not allow oversight of one person by another person in any of the relationships above.
Page 7: Under the section on Recording Deposits--All monies received must be recorded and receipt given to person/ institution paying the money whether they want one or not.

3. Unit Accounting 101
Page 12: Regarding Tracking Credits for Individual Young Marines--There should be NO money accounts for individual Young Marines! Units will need to utilize a “points system” to keep track of their individuals’ contributions for high selling, performing, participating in fundraiser activities, etc. The Internal Revenue Service prohibits the designation of funds into individuals’ accounts to reward or give them payment for work done such as participating in fundraiser activities (the IRS would see this as taxable income and of course would want their cut of it). So if your unit decides to have individual accounts, you will need to assign one point per the value of one dollar. Then the individual can use these points to help “pay” for trips, uniforms, merchandise, etc. However, they and their parents must understand that these points have no cash value and are not transferrable if they leave the unit.
Page 12: Regarding Making Financial Records Public Record--As a IRS 501(3)(c) recognized youth program, each Command Element Commander’s financial records are a matter of public record. If someone asks, parent, legal guardian, business person; anyone; the latest Monthly Financial Report should be shown or any time-period in question. There are no ‘secret’ financial reports, records, etc.
Other Changes include: New cover, reporting all accounts including PayPal, Square, and Stripe, and a new section on how to complete the Monthly Financial Report.

4. Unit Accounting 101
Monthly Reporting

5. Unit Accounting 101 Reporting Due Dates
You have 30 days to prepare and submit your Monthly Financial Report (MFR) to Ambassador.
Example: Your May report will be due on July 1st.
We will send Headquarters an updated Compliancy Report every Wednesday morning.

6. Unit Accounting 101 Methods of Reporting Fax: 703-361-1765
Verify that it’s not upside down.
Make sure you get a confirmation report.
Mail: 7521 Presidential Lane, Manassas, VA
Cons: May get lost, takes several days, and no confirmation of receipt.
You will always receive a reply from Kathy that she received it.
Common mistake: Misspelling address.
Common mistake: Attaching wrong file.
Try to scan attachments all together when possible.

7. Unit Accounting 101
What to Send
Page 1 of the Report Showing Income and Expenses
-Do not send Page 2—Must be kept with unit files in case you get audited.
Bank Statement
-All pages of statement that contain activity.
-Bank statement needs to show the beginning and ending balance for the month.
-Send the reconciliation if the ending balance is different than report balance.
-Must have the bank’s name, address, and your account number on it.

8. Unit Accounting 101 If You Get Locked Out
Check to see that you have submitted the correct report and received some sort of confirmation either by or fax.
If you did submit it and have confirmation, call Ambassador at to inquire why you are still locked out. If it is our error, we will contact Headquarters immediately to have you unlocked.
Common Reasons Why You Get Locked Out:
You have not sent in the current month that is due.
You sent it to the wrong address.
Your fax did not go through.
Your fax was upside down.
It got lost in the mail.

9. Unit Accounting 101 Changes To Page 1 Of Financial Report New Form
The report was updated in the database on10/2016.
Please make sure you are using the new report. It now separates the Fundraiser Income from the Contribution Income .

10. Monthly Financial Report Page 2
Unit Accounting 101
Monthly Financial Report Page 2

11. Unit Accounting 101 Beginning Balance
Make sure the beginning balance agrees with ending balance from the prior month’s report.
It should agree with beginning balance on your bank statement.
Beginning Balance

12. Unit Accounting 101 Fundraiser Income
This section is where you total all monies received through fundraiser activities.

13. Unit Accounting 101 Contribution Income
This section is where you total all monies received as Contributions.
Note: If you receive a contribution for a specific purpose it is “restricted” and you must list that purpose.

14. Dues And Registration Fees
Unit Accounting 101
Dues And Registration Fees
This is where you total all monies collected from members of your unit for dues and registration fees.

15. Interest / Dividend Income
Unit Accounting 101
Interest / Dividend Income
This is where you list interest that your bank account received for the month (usually a small dollar amount).

16. Transferring Money Between Units
Unit Accounting 101
Transferring Money Between Units
If you receive money from another unit you need to list it under “Amounts Received from another Unit” section.
List each unit’s name and the exact amount paid.
If you paid to multiple units, do not lump total together. Must be broken out individually.
Do not abbreviate the name of the unit.

17. Amounts Received From Headquarters
Unit Accounting 101
Amounts Received From Headquarters
Money that you received from Headquarters is listed here.

18. Money Transferred Between Bank Accounts
Unit Accounting 101
Money Transferred Between Bank Accounts
Money you received from another bank account held by your unit is listed here.

19. Unit Accounting 101 Other Income
This is where you list any money you received that does not fall under any other income category.
Examples: Sale of Merchandise, books, uniforms, any refunds, etc.

20. Unit Accounting 101 Unit Activities
This is where you list all monies spent for unit activities such as trips, outings, parades, etc.

21. Unit Accounting 101 Fundraiser Expenses
This is where you list all monies spent for fundraiser activities such as carwash supplies, candle purchases, wreath purchases, candy purchases, etc.

22. Equipment Purchase Over $500
Unit Accounting 101
Equipment Purchase Over $500
The only time you list anything as Equipment Purchases is when you have ONE SINGLE item that costs over $500. ONE BIG PURCHASE.
Example: A Computer, Trailer, Tent
You must list a description of the item purchased.

23. Transferring Money Between Units
Unit Accounting 101
Transferring Money Between Units
If you pay money to another unit you need to list it under “Amounts Paid to another Unit” section.
List each unit’s name and the exact amount paid.
If you paid to multiple units, do not lump total together. Must be broken out individually.
Do not abbreviate the name of the unit.

24. Funds Paid To Headquarters
Unit Accounting 101
Funds Paid To Headquarters
This is where you list all payments made to National Headquarters either electronically or by check.

25. Money Transferred Between Bank Accounts
Unit Accounting 101
Money Transferred Between Bank Accounts
This section is where you list any money you transferred to another bank account held by your unit.

26. Unit Accounting 101 Other Expenses
This is where you list any monies spent on any expenses not listed above.
Examples: Rent, bus insurance, office supplies, postage, uniforms, camelbacks, etc.

27. Reporting A New Bank Account
Unit Accounting 101
Reporting A New Bank Account
When you change banks or just open a new account, you must do the following:
Send a report and bank statement for the OLD Account for each month until the bank statement shows a zero balance.
List money taken from the OLD account and given to the NEW account as a transfer of money to “Another account held by unit.”
List money deposited into the NEW account as a transfer of money from “Another account held by unit.”

28. How To Avoid Common Mistakes
Unit Accounting 101
How To Avoid Common Mistakes
When sending report by
Double-check the attachment to make sure it is the correct report.
NEW Make sure you send it to
Make sure you receive an back confirming that we received it.
When sending report by fax:
Make sure the report is not upside down.
Make sure you receive a fax confirmation that it went through.
Show transfers between units correctly—make sure to list the exact name of the unit and amount.
Equipment Purchases—Only report purchase of ONE ITEM that costs over $500—do not enter purchase of multiple items that cost over $500. Many people mistakenly enter purchase of uniforms, boots, etc. in this section.
Make sure to label report with correct month—it should be the same month as your bank statement.

29. Important Procedure Reminders
Unit Accounting 101
Important Procedure Reminders
Monthly financial reports must have BOTH Unit Commander and Paymaster ACTUAL signatures not a cursive font.
Reports will not be considered complete/compliant with only one signature
ALL Divisions, Regiments, and Battalions are required to file monthly financial reports.
Reports are required even if you do not have a bank account!
Unit Commander must sign report
2 signatures not required if the Div, Reg, or BN does not have a Bank Account

30. Unit Accounting 101 Retaining Records
The paymaster must retain copies of all financial records for 3 years. This is best accomplished with either an accordion folder or 3-Ring binder separated by month. The records for each month should include copies of:
1. Monthly Financial Report
2. Bank Statement
3. Backup for all income items—Deposit Slips, Donation acknowledgement letters, pre-numbered receipts, control logs.
4. Backup for all expense items—Invoices, Expense reimbursement forms, all supporting receipts.
Financial records are very important and the organization must retain file copies to comply with record retention requirements, as well as support any and all audit requests. The Financial Records are subject to audit by any person designated by higher authority (Battalion, Regimental, Division Commander, and National Executive Director), or from an external auditor as part of the annual financial audit. These records must also pass between the new and old commander and the new and old paymaster.