1. Making Smart Financial Decisions
A Guide for Student Organizations
Kristine Koehler
Coordinator, Office of Student Life

2. Financial Basics Open and maintain an off-campus bank account
Set up a system of checks and balances
Have at least two signers
Put your advisor’s name on the account
Keep good records of your account numbers, locations, and balances

3. Protect Yourself from Financial Pitfalls
DON’T deposit organizational funds in a personal account
DON’T use your personal debit or credit card for organizational expenses
DON’T keep a lot of cash around
DON’T sign any contracts on behalf of the University

4. Creating a Budget Two types of budgets: annual and event-based
Budgets should reflect all expected expenses and income
Budgets are a tool for planning and prioritizing club activities
Budgets should be realistic
Don’t underestimate your expenses
Don’t overestimate your income

5. Sample Annual Budget Expenses expected actual Income T-shirts $175
$350
Account balance
Office supplies
$30
$25
Member dues
$600
$570
Fall event
$2700
$2347
ASNAU funds
$500 $0
Spring event
$1300
$1743
Sponsor-ships
$3000
$1000
Marketing
$150
$134
Fund-raisers
$1500
$375
Total
$4355
$4559
$4450
$2295

6. Sample Event Budget Fall Hayride 2010 Expected Expense Actual Expense
Wagon rental
$1200 $
Hay bales
$350
$276
Food (hot dogs, smores, cider)
$200
$214.97
Decorations
$50
$17.50
T-shirts
$250 $0
Marketing
$37
Total
$2050 $

7. Managing Your Budget Once you set the budget, keep a close eye on it
Assign one person to track expenditures and income
Control spending
Assess at the end of the year to determine what needs to be changed for next year

8. Sample Accounting Log Date Description Expense Income Balance 8/30/10
Beginning balance
$500
9/15/10
Flyers
$20
$480
10/25/10
Candy & supplies for fundraiser
$87
$393
10/31/10
Proceeds from Halloween fundraiser
$432
$825
11/15/10
Club t-shirts
$317
$508
1/23/11
Donation from Joe’s mom
$50
$558

9. Federal Tax ID Number You need this to get paid!
Student organizations are not allowed to use the University’s tax ID number
Apply online through the IRS
This is not the same as having legal non-profit status

10. Fundraising Apply for funding from ASNAU or STAC
Hold a fundraiser on campus
Contact local restaurants about fundraisers
Get as creative as you want, but there are a few exceptions:
Raffles
Bake Sales
Human Auctions

11. Sponsorships
Contact local or national businesses about sponsoring the group
Money
In-Kind donations
Ask for donations from parents or family members
Matching Gifts
Donations to the University Foundation can be used as tax write-offs

12. Questions?