Northwest
Human Resource
Management Association
Position Title: Chapter Treasurer Revised: December 2000
Reports To:
Chapter President
Chapter Members
Auditing Committee
General Position Summary:
Responsible for all activities and systems involving management of chapter funds.
Essential Job Functions:
Maintains record of all chapter financial transactions to include funds received and disbursements made on behalf of the chapter.
Attends all monthly chapter meetings, registers members and guests and prepares monthly bank deposit.
Balances bank statements and pays bills as budgeted or approved by the board.
Guides chapter in development of an annual budget.
Prepares monthly report of chapter’s financial activity and reports at monthly chapter board meetings.
Facilitates audit by chapter-designated Auditing Committee.
Participates in the development of short-term and long-term strategic planning for the chapter.
Represents the chapter in the human resources community.
Completes other assignments as requested by the President or the Board of Directors.
Essential Qualifications:
Must be a member in good standing elected by the chapter membership.
PHR or SPHR certification preferred.
Recommended Procedures
Accounting Records
A. Record All Transactions. The treasurer should maintain a complete set of accounting records. All fluids received and disbursements made must be recorded. Outstanding accounts receivable and unpaid obligations must be recorded to assure completeness of chapter accounting records.
B. Verify & the Bank Statement. When monthly bank statements are received the treasurer should balance the checkbooks and reconcile any differences.
C. Report Monthly. Using the accounting records, the treasurer should be prepared to report the Chapters financial condition at each meeting of the chapter.
D. Yearly Audit. The treasurer should insist that
an auditing committee be appointed and that the accounting records be
audited at least once each year. If the chapter has a substantial treasury
balance, an independent auditing firm should be engaged.
Bank Accounts
A. Checking Accounts. All chapter expenditures should be paid by check. The treasurer must maintain a checking account and must balance the checkbook and reconcile any differences on a monthly basis.
B. Savings Account/Money Market Accounts. All excess funds not immediately needed to operate the chapter should be deposited in a savings account or Money Market Account. Preparation and
approval of a budget will usually dictate the amount of money, if any, which can be deposited in
these accounts. The treasurer should investigate the kinds of accounts available.
C. Use the Same Bank. If possible, the chapter should maintain all of its fUnds in one centrally located bank. This will prevent having to transfer funds from one bank to another as each new treasurer takes office. One bank will also insure the integrity of a savings account. Transfer of funds from the old to the new treasurer can be accomplished by signing new cards at the bank.
Receipt Of Monies
A. Monies Received from Meetings of the Chapter. These funds, usually in cash, should be deposited in the chapters bank account immediately. In instances where it is more convenient to pay these funds to the establishment where the meeting was held, it is essential that a receipt be obtained for the chapter records. The total amount paid out (as evidenced by the ;ceipt) should be recorded as meeting expense.
B. Advertising Income. Monies received from advertisers for advertising published in the chapter bulletin should be deposited in the chapter’s bank account. The treasurer should have copies of advertising invoices issued to advertisers. As monies are collected the copies should be marked “paid” and become a document for chapter records.
C. Monies. In all instances monies received should be deposited in the chapter bank account. Amounts and purposes should be recorded for chapter records.
Disbursement Of Monies
A. Pay by Check. The treasurer should issue checks for payment of chapter obligations on receipt of proper documentation and approvals. All obligations should be paid by check.
B. Use Two Signatures. The bank accounts should have two authorized signatures. Usually signing authorization should include the treasurer and president of the chapter.
Budgeting
No business, no matter how large or small, can operate very long without a budget and adherence to it. The operation of an SHRM chapter is equivalent to running a small business and thus a budget is a necessity. The treasurer should prepare and submit a budget to the chapter’s executive committee for approval.
A. Income Sources. A chapter’s income is derived from several sources. A fixed amount is allotted to the chapter from the dues paid by each member of the chapter. In other words, the chapter’s success in maintaining or increasing its membership controls a part of its income. In addition to its income from dues, a chapter has several other ways in which it can increase its income. Some chapters are able to make the chapter bulletin an income-producing property. A good, active sales-oriented “advertising” group either as part of the bulletin committee or as a separate committee, is required. Unfortunately, the smaller chapters are likely to have the greatest difficulty with selling advertising space in their bulletin. However, many small chapters have made their bulletins at least self-supporting.
B. How to Prepare a Budget. To the untrained, the preparation of a budget might seem like a major task; however, if it is undertaken in a logical and systematic manner, it really is quite simple. The budget will consist of two sections, Income and Expense:
1.Income. The treasurer should make a list of all possible income sources available to the
organization. Some of these are:
•Dues. Chapters may charge local dues. Also, chapters are refunded a percentage of the SHRM national dues for each SHRM member in the chapter. A look at past membership levels, national trends and local employment can influence this estimate.
•Monthly Meeting. Where a fee is charged or a ticket is sold to attend the monthly meeting (usually to cover meal costs), the money derived from such ticket sales is considered income. This can be estimated based on past experience and the number of meetings planned for the coming year.
•Other. Income from workshops, seminars, golf outings, Christmas parties, etc. should be estimated.
2.Expenses. The treasurer should make a list of all expected expense items. Some of these are as follows:
•Bulletin. A major chapter expense may be publication of and postage for the monthly chapter bulletin.
•Miscellaneous Postage: This expense should remain at about the same level each year.
•Travel. The treasurer should estimate the travel expense anticipated for the forthcoming year. Airfare has been increasing each year so that some contingency must be included in this estimate. (Many SHRM chapters pick up expenses for the Chapter President’s attendance at the SHRM Annual Leadership Conference).
•Monthly Meeting. Expenses from meetings usually include the following:
•Cost of dinners (restaurant charges)
•Audio-visual rentals
•Speaker fees and travel
•Meeting room rental
•Workshops and Seminars. Audio visual rentals, printing expense, Instructor fee, meeting room rental.
•Social Activities. These expenses include restaurant charges for meals, music for dinner dances, golf outing greens fees, printing of tickets and cost of prizes.
• Monthly Recapitulation of Income and Expense Compared to Budgeted Income and Expense. The treasurer is the financial officer and advisor to the chapter. In this capacity, the treasurer should keep a monthly tally of actual income expense as compared to budgeted income and expense. Any abnormal deviation from budgeted items should be reported and brought to the attention of the executive committee for action.
Each chapter may adopt any system of bookkeeping that best meets its needs. The treasurer may find the accounting officer of their respective company a rich source of information if additional assistance is required