T O S T R E N G T H E N Y O U R F I N A N C I A L S K I L L S

D E C E M B E R 1 0 , 2 0 1 4

Seize The Moment…..

Western Area Treasurer

H. Diane Scott Pasadena – Altadena (CA) Chapter of The Links, Inc.

‘Best Practices in Fiscal Management’

Western Area Financial Secretary

Cora Robinson Houston (TX)

Chapter of The Links, Inc.

‘Organizing The Dollars’

Agenda

�  Welcome �  Housekeeping �  Goals �  Presentations

¡  Best Practices in Financial Management – Diane Scott ¡  What’s Coming in 2015 ¡  Organizing The Dollars – Cora Robinson

�  Q & A �  Post Survey �  Contact/Resource Information �  Wrap-Up and Closing

•  Y o u w i l l b e m u t e d t h r o u g h o u t t h e w e b i n a r

•  “ R a i s e y o u r h a n d ” i f y o u h a v e u r g e n t i s s u e s

•  T y p e y o u r q u e s t i o n s a s w e p r o c e e d - t h e y w i l l b e

a d d r e s s e d a t t h e e n d

•  C o n t a c t u s a f t e r t h e w e b i n a r i f y o u h a v e m o r e

s p e c i f i c q u e s t i o n s

•  R e m e m b e r t o u t i l i z e t h e N a t i o n a l a n d A r e a w e b s i t e s

a s a d d i t i o n a l r e s o u r c e s

Housekeeping

MEMBER BUILDING ASSESSMENTS

�  The final payment for building assessments is due in National Headquarters April 1st and no later than May 1st to avoid membership forfeiture.

�  This timeline affects all members whose final payments are due in 2015.

�  In subsequent years, final payments will be due as stated above.

A L E R T ! ! !

To provide tools and resources in support of your very vital roles as chapter

treasures, and f inancial secretaries.

To address your issues and concerns.

Goals

“You Can Only Become Truly Accomplished At Something You

Love. Don’t Make Money Your Goal . Instead, Pursue The Things You Love

Doing, And Then Do Them So Well That People Can’t Take Their Eyes

Off You.” -Maya Angelou

Food For Thought

Area Strategic Goal – Fiscal Responsibility & Fund Development

�  Goal 2:  By the end of 2015, work with Chapters to ensure that they are fiscally responsible and meet the established timelines of The Links, Incorporated.

¡  Articles will be published periodically

¡  Webinars will be presented and targeted specifically to Financial Officers

¡  Will address issues on an ongoing basis and assist Chapters with meeting guidelines and compliance.

Best Practices in Fiscal Management

Role of The Treasurer

�  Leader in the financial life of her Chapter: ¡  Has thorough understanding of financial reports ¡  Communicates information and concepts to the Board and

Chapter ¡  Partners with the Board and Chapter to develop a useful

budget that reflects the priorities, decisions, intentions and objectives of the Chapter

¡  Strategizes beyond annual budgets, audits and financial reports to bring financial leadership to the Chapter and connects finance and mission.

�  990 Form

�  Bonding Insurance

Timeliness is K

EY

Form 990

DUE: September 15, 2014

•  The 990 Form: Downloaded from the IRS web page (www.irs.gov). All Chapters must file Form 990 with the National Office every year.

•  The Form 990, Form 990EZ or Form 990N must be sent or

postmarked not later than September 15th to the IRS. Chapters can use the new online member management system to upload their Form. Please login to Members Only Section at www.linksinc.org.

Extensions and Late Fee Assessments

�  There is a late fee assessed of $100 if Form 990 is not submitted on time.

�  Chapters that file for a extension must submit a copy of the extension request to the National Office by September 15th to avoid the late fee.

�  The approved IRS Form 990 Extension must be sent to the National Office within two weeks of receipt from the IRS.

�  If your receive an assessment and feel it in in error, contact me immediately, so that the issue can be resolved.

Chapter Bonding Insurance

Who Must Be Bonded??

�  Chapter President �  Chapter Vice President �  Chapter Treasurer �  Chapter Financial Secretary �  Chapter Fundraising Chair �  Any Chairs that are responsible for handling Chapter

funds �  All signatories on Chapter checks

Bonding Coverage Amounts

�  A minimum of $25,000 coverage per person �  Chapters may secure bonding for funds exceeding

the $50,ooo by contacting a local bonding firm or our firm: ¡  Professional Insurers & Associates, Inc., 301 -856-1810.

�  Gross Income receipts reported on your 990 determines the amount of coverage

�  Bonding Insurance must be paid by September 15, even if an extension is filed for the 990 form

�  A $500 deductible will apply for all insurance claims

Bonding Insurance Deadline

� Bonding Insurance: The deadline for Chapter bonding is September 15, 2014. The form has been replaced with an online process.

� Please login to the Members Only Section to access

Bonding Insurance at www.linksinc.org.

Late Fee Assessment

�  There is a late fee assessed of $500 if Bonding Insurance is not purchased on time.

�  This will take effect in 2015.

Budgeting

Budget Planning

�  In order to determine the chapter membership dues and/or fundraising activities, the budget, including these amounts, must be presented to the executive committee at least 2 weeks prior to presenting to the chapter.

�  It should be prepared and presented no later than November and approved by the chapter no later than February 1st. The Chapter Treasurer must provide the budget approved by the chapter to the Area Director and the Area Treasurer annually.

The Proposed And Approved Budget Cannot Show A Negative Balance

Budgeting

Auditing Procedures

Auditing Procedures

�  The National Finance Committee reviewed Chapter auditing procedures.

�  Complete auditing procedures are listed in the Financial Manual posted on the National website.

�  A subsequent Webinar will review all auditing procedures

�  This presentation will focus on focus on Internal Audit procedures

Internal Audit Committee

•  An Internal Audit Committee is composed of a minimum of three (3) members appointed by the President, and SHALL NOT include the financial officers or members of the Finance Committee.

•  The Internal Audit Committee reviews the financial records of the chapter to ensure compliance with the chapter’s bylaws and operating procedures. Chapter Bylaws should define the role of its Internal Audit Committee and tasks. The internal audit committee’s role and responsibilities shall be added to chapter Bylaws, if not already included.

Internal Audit Committee (continued)

�  Duties and Responsibilities of the Chapter Internal Audit Committee

�  The Internal Audit Committee:

•  Reviews monthly bank reconciliation as prepared by the Treasurer. The review includes: Confirmation of deposits/funds received by the financial secretary and submitted to treasurer.

•  Ensures compliance of good accounting practices by checking the beginning and ending balances and completes an internal audit annually. The chapter Treasurer and Financial Secretary shall submit books to the chapter’s internal audit committee within sixty (60) days from the end of the fiscal year (April 30) for internal audit.

Internal Audit Committee (continued)

•  Reviews checks written to ensure that they are in accordance with national, area and chapter policies, budgets and the requirement of two signatures are affixed on checks written.

•  Reviews bank statements, vouchers and receipts.

•  Any discrepancies should be discussed with the Treasurer and Financial Secretary prior to presenting to the Executive Board and membership.

The Internal Audit Committee shall review all financial reports prepared for audit.

Internal Audit Committee (continued)

•  The Finance Committee is in the process of developing a “Certification Form” which will be prepared by the Chapter Internal Audit Committee and signed by the Chapter President.

•  This is to ensure compliance with Internal Audit procedures and confirm that internal controls are in place.

What’s Coming in 2015??

2015 ? ? ?

�  The Links Foundation, Incorporated manual will be posted and include: ¡  New procedures for handling tax-deductible funds ¡  Funding for Chapter fundraisers and donations received

�  The updated, latest version of the Financial Handbook of The Links, Incorporated.

2015 ? ? ? (continued)

�  Revised Chapter Audit procedures will be listed

�  A Chapter Internal Audit Certification Form will be implemented ¡  Required to be submitted by September 15 of each year

�  Periodic Webinars will be provided to review the Financial Manual and policies and procedures

Organizing The Dollars

Financial Secretary – 3Rs – Record, Receipt, Report

�  The primary duties of the Financial Secretary, in addition to working in tandem with the Treasurer:

�  Record – all dues, assessments, financial contributions

�  Receipt – all monies received by the chapter. Receipts to Member, Treasurer and file

�  Report – To the Treasurer, Executive Team and Membership (monthly meeting)

Financial Secretary – 3Rs – Record, Receipt, Report

�  Accountability and transparency �  Accurate recordkeeping creates accountability and

transparency �  Recordkeeping tools – Quickbooks, Quicken, Excel,

Receipt book (numbered)

Financial Secretary – 3Rs – Record, Receipt, Report

Financial Secretary – 3Rs – Record, Receipt, Report

Financial Secretary – 3Rs – Record, Receipt, Report

Financial Secretary – 3Rs – Record, Receipt, Report

Financial Secretary - Transitioning

�  Year end report to the Chapter �  Transition meeting – include all financial documents

(within 90 days of fiscal year end)

�  Accurate recordkeeping is the lifeblood of any organization. This includes our financial records.

Questions ? ? ?

Next Steps

�  A link will be sent to you following this call with a brief survey.

�  We encourage you to answer the few questions as it will help us in planning future Webinars and addressing your concerns.

Contacts and Resources

�  Diane Scott, Treasurer ¡  dscott@cadvium.com

�  Cora Robinson, Financial Secretary ¡  cgrobinson@marathonoil.com

�  Irene Oakley-Johnson, HBCU Chair ¡  irene.l.oakleyjohnson@nasa.gov

�  Susan Johnson, Links Foundation Liaison ¡  lsjohnso@sbcglobal.net

☛

�  National Website – www.linksinc.org �  Western Area Website – www.walinks.org �  The Financial Handbook – on National Website

Thank you!!! you!

Seize the Moment… Strengthen Financial Skills