Hints for Bookkeepers

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(No Transcript)
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Bookkeepers Manual
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Areas for Review

• Internal Controls
• Purchasing Policies Purchase Orders
• Receipts
• Checks
• Cash Advances
• Paying Employees
• Paying Students
• Contracted Services
• Trust Accounts
• Deposits
• Money Collected Forms
• Bank Balance
• Bank Reconciliation
• Transfer Vs. Adjustment
• End of Month Procedures
• End of Year Procedures
• Principals Report
• Fundraising Events
• Day Care

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Internal Controls

• Internal controls are the checks and balances
  within the school that ensure maximum compliance
  with School Board Policy and Red Book procedures.
• Examples include
• Two signatures on checks, having principal
  sign all checks, using money collected forms,
  etc.
• Internal controls are created by following
• State and Board rules and regulations
• General accounting principals
• Other rules and recommendations made by district
  finance personnel to ensure that there is
• Separation of duties
• Checks and balances
• Adherence to established policies and procedures
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Purchasing Policies Purchase Orders

• Policies
• 3 Quotes are required on purchase of any single
  item of equipment between 1000 - 4500
• Documentation of quotations received shall be
  submitted with the purchase order
• Equipment Purchase over 4500 should be made
  through purchasing department
• Any equipment purchase over 1000 must be
  capitalized
• Items over 1000 must also be included on board
  property records
• Procedures
• Purchase order created
• Purchase order approved
• Order placed
• Order delivered or serviced rendered
• Invoice/Receipt received and approved for payment
• Payment Made
• FAQ
• When should I issue a purchase order?
• FIRST!!

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Receipts

• Place and Receive Order
• Once purchase order is approved, place order.
• If amount exceeds PO, issue additional PO if
  amount exceeds 10 cushion.
• When order received, count items.
• Match invoice to receive list.
• Have invoice approved for payment.
• Paying Invoices
• ALL checks to individuals MUST be supported by
  complete, appropriate, signed documentation.
• Can only pay a complete receipt, contract, or
  invoice.
• Mark invoice a s PAID.
• Do not backdate or post date checks.
• What is a Proper Receipt?
• Printed company name, address, phone number
• Date
• Description of items purchased
• Total cost (NO TAX)

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Checks

• Checks
• MUST have two signatures
• One signature MUST always be Principal or
  Assistant Principal, the other is bookkeeper or
  office manager. (Signature card must reflect
  current authorized signers).
• Should always have full documentation see
  Receipts on previous page
• Should always be computer-issued
• Should never be for more than the invoice or
  receipt
• Should never be backdated or postdated
• Blank checks should never be given out
• Check Security
• Choose check stock that copies through with
  watermark
• Account for all skipped and voided checks
• Do not sign blank checks
• Outstanding checks
• Checks should not be left outstanding over 180
  days.
• As 180 days nears, try to contact individual if
  no response, VOID check.
• If check is lost or never received fill out the
  form (see attached), void check and reissue
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Cash Advances

• When issuing checks for cash advances
• Cash advances should be avoided!!
• When a cash advance is unavoidable, it must be
  fully documented
• Have complete , detailed, signed explanation as
  to the purpose and use of funds
• Like all purchases, cash advances must be
  documented with a receipt
• Any unused portion of the advance must be
  deposited to the school account promptly
• Attach copy of Money Collected Form showing
  deposit of unused advance to original cash
  advance check. The deposit plus the receipts
  must equal the original check amount.
• NEVER, EVER use cash to pay anyone
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Paying Employees

• To pay school board employees for work performed
• Send a check to Finance for the amount needed
  including benefits.
• DO NOT pay school board employees out of internal
  accounts
• DO NOT pay anyone with cash (this includes
  gratuities)
• DO NOT make loans out of school funds
• For non-school board employees see contracted
  services!!
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Paying Students

• Use forms provided (see attached) for
• Found textbooks previously lost
• Refund of cancelled trips
• Refund of school pictures
• Can also be used for scholarship payments, but
  these should also have an invoice from the
  university showing current enrollment.
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Contracted Services

• When Services are provided by an outside person,
  a Contract
• for services is required Before Beginning
  of Services.
• Examples of contracted services
• Deejay
• Security Guard for sporting events
• Official for sporting events (if paying official
  directly)
• Outside help brought in to perform extra cleaning
  or similar work
• NEVER pay cash to any individual for services
  performed
• Always mark the vendor file for a 1099
• NEVER pay school board employees out of internal
  funds for work performed
• A contract must have
• Use Forms Provided. (See Attachment)
• Signature of provider and approver (principal,
  superintendent and departments involved )
• Social Security number, name , address, phone
  etc.
• Description of work performed
  
• Date and time for work to be performed
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Trust Accounts

• Funds collected for a specific, restricted
  purpose shall be accounted for in a trust
  account.
• Restrictions on trust funds
• No transfers out of trust accounts
• No negative balances in trust accounts
• Money can be used only for the purpose collected
  or designated alternative
• May include school rings, graduation caps and
  gowns, lock deposits, etc.
• Do not need superintendents signature on
  Purchase Orders from trust funds.
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DEPOSITS

• Deposits should be made DAILY.
• Teachers collecting should turn in the DAILY.
  Collections for night events should go to a
  night depository.
• should not be left in the school overnight.
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Money Collected Form

• Money Collected (MC) forms should be
  PRE-NUMBERED.
• MC forms should be SIGNED and DATED by both
  BOOKKEEPER and DEPOSITOR or SPONSER.
• MC forms should not be altered without
  acknowledgement by both parties.
• MC forms should show as much detail as possible
  about the source of the and the purpose for
  which it was collected.
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Bank Balance

• Maximize interest earnings by using interest
  bearing checking accounts
• The school principal shall provide for the
  investment in FDIC insured savings or CDs, or US
  government securities for funds which are not
  needed immediately for expenditures.
• Minimize service charges
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Bank Reconciliation

• Make interest adjustments as needed. The batch
  date cannot be changed, but the bank date will
  need to be the last day of the month you are
  reconciling.
• Reconcile the bank statement by using Enter and
  Edit Cleared Check selection on the bank
  reconciliation screen. (see the Manatee manual
  for detailed instructions)
• All savings accounts, including SBA, MMDAs, CDs,
  should be reconciled to the bank statements. This
  should be done through Manatee reconciliation
  procedures by specifying a different account
  each time.
• Submit reports to Principal for review and
  signature.
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Transfers vs. Adjustments

• Transfers A loan or gift from one group to
  another (no cash is involved). All transfers
  should be signed by sponsor AND principal.
• Adjustments Corrections, which usually involve
  the cash account. Attach backup documentation to
  the adjustment.
• There should be no transfers out from Trust
  Accounts because the is restricted for use.
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End of Month Procedures

• Verify that all postings are complete.
• Perform Bank Reconciliation.
• Post all interest earned .
• Be sure to have two sets of disks ready and
  plenty of paper in the printer.
• Execute the Month-End Macro by selecting Alt M.
• The computer will make two backups and print
  several reports.
• Print a General Ledger/Monthly Statement for each
  account's sponsor/teacher.
• Do Not print an additional Principal's Monthly
  Report without rolling up accounts the report
  that prints automatically is all that is
  required.
• Submit reports and bank statement to Principal
  for review and signature.
• Submit the signed reports to Finance no later
  than the 25th of each month
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End of Year Procedures

• Perform a reconciliation of your NSF account.
• Send in Textbooks Lost/Damaged money to Finance.
• Send in Library Books Lost/Damaged money to
  Finance.
• Be sure the Petty Cash is fully reimbursed.
• Transfer all interest from checking and SBA,
  MMDAs and CDs to the General Fund Account.
• Make sure there are no negative balances in
  accounts.
• Make sure all Cash Boxes have been returned.
• Check that all encumbrances are up to date and
  cancel any unnecessary purchase orders.
• Perform Month-End closing Procedures Option 1 .
• Close the year by selecting Maintenance,
  Utilities, Year-End Closing, and Y for yes.
• Make TWO backups, send one to Finance with June
  Reports by July 25th.
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Principals Reports

• Must be signed by bookkeeper and principal
• Should be sent to Finance by the 25th of
  following month
• For A/P over 60 days, include list.
• A/P over 60 days or checks outstanding over 180
  days should be researched and resolved.
• Variances in bank reconciliation should be
  explained.
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Fundraising Events

• Fundraising
• See Red Book, Chapter 7, page 8 (attached)
• Raffles and other activities of chance shall not
  be conducted for school related activaties.
• Each activity shall be approved by the sponsor
  and principal.
• Each fundraising activity shall be planned to
  finance a specified objective.
• See suggested fundraising form (attached)
• Events
• Ticket report should be attached to deposit for
  substitution of Money Collect Form
• Amount of deposit should match of tickets times
  price per ticket
• Tickets can also be used as receipts to provided
  backup for parking, food or game booth, etc.
• Event Deposits
• Frequently large events, such as dinners, dances
  or trips require an advance deposit. To write
  the check for a deposit, a contract for services
  to be performed is acceptable
• When services are completed (after the hotel stay
  is over, for example) or final payment is made, a
  FINAL RECEIPT IS NECESSARY. The receipt should
  indicate the total paid and a copy should be
  attached to the backup for the check for deposit
  and the final payment check
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