session three: trial balance reports
TRANSCRIPT
Fiscal Training for Board Members2015-16
Session Three: Trial Balance Reports
and Treasurer’s Report
Session Three:Trial Balance Reports and Treasurer’s Report
• Last training – budget and revenue status reports
• This training - Taking the next step up to Trial Balance• Budget and revenue gives current picture – surplus/deficit • Trial Balance gives overall picture
• Then onto the Treasurer’s Report • Show how it links back to the Trial Balance
Session Three:Trial Balance Reports
• You review six Trial Balance Reports (one for each fund)1) General Fund (district services – cosers)2) Federal Fund (grants and Adult Ed)3) Capital Fund (building projects)4) Other Fund (no budget)5) Trust & Agency Fund (no budget)6) Private Trust Fund (no budget)
Look at budget status reports to
see is what in each fund
Session Three:Trial Balance Reports
• Purpose of a Trial Balance• View balances for each account
• Bigger picture – not just current year revenue and expense• Accounts are in balance
• Total Debits = Total Credits• Working document throughout the year – balances change
• Check the report date to make sure it is for the right time period• June 30th Trial Balance – amounts are audited
• First report that is requested by the auditors
Session Three:Trial Balance Reports
• Trial Balance report is separated by categories (accounting terms)
• Categories on Trial Balance report• Assets (debit balance)• Liabilities (credit balance)• Budgetary Expense (debit balance) • Budgetary Revenue (credit balance)
Trial Balance Report :General FundAssets = should have debit balance• Cash (operating, investments,
reserves) • Receivables ($ due to BOCES)• Prepaid Expenses
Liabilities & Reserves = should have credit balance• Surplus to Districts• Accounts Payable – current
payment to vendors• Due To & Accrued = pulling from
budgets to pay invoices• Overpayment/Collection in
Advance = contract obligations/retiree health ins
• Reserve balances
Current year – should match budget status report and revenue status report for the month
Trial Balance Report :Federal Fund (also called Special Aid Fund)Assets = should have debit balance• Cash (operating, investments,
reserves) • Receivables ($ due to BOCES),
Liabilities = should have credit balance“what we owe”• Accounts Payable – current
payment to vendors• Due to Other Funds
Current year – should match budget status report and revenue status report for the month
Trial Balance Report :Capital FundAssets = should have debit balance• Cash (operating, investments)
Liabilities = should have credit balance• Accounts Payable – current
payment to vendors• FB = Fund Balance as of 7/1
Current year – should match budget status report and revenue status report for the month
Trial Balance Report :Other Fund
Assets = should have debit balance• Cash (operating, investments) • Receivables
Liabilities = should have credit balance“what is owed”
Expenses = Revenue (no budget in WinCap)
For CASEBP operations –Health, Dental, Flexible Spending & Workers Comp
Trial Balance Report :Trust & Agency Fund
Assets = should have debit balance• Cash• Accounts Receivable – retirees owe
Liabilities – due on behalf of employee, retiree, student or Extra Class
Fund used for payroll, retiree health, student deposits and Extra Class Activity Fund– “not BOCES money”
Trial Balance Report :Private Purpose Trust Fund
Assets = should have debit balance• Cash
Scholarship balance without current year interest
Fund used to account for student scholarships
Current year interest
Session Three:Trial Balance Reports
• Any questions on the Trial Balance reports?
• Moving onto the Treasurer’s Report
Session Three:Treasurer’s Report
• On each Trial Balance, there is cash.• How do we know that cash balance is correct?• Trace it to the Treasurer’s Report
• Purpose of Treasurer’s Report• Reconcile cash to bank statements• Need proper segregation of duties to ensure integrity of report
Session Three:Treasurer’s ReportMatches trial balance (our books)
Bank statement balance with outstanding deposits/checks
Shows each fund
Should match!
Treasurer
Treasurer verifies collateralizationApproved funding
of reserves
Session Three:Trial Balance Reports and Treasurer’s Report Conclusion• Things to look for…..
• Do the debits and credits look right on the Trial Balance?
• Do the balances on the Trial Balance seem in align with the operation?
• Is the Treasurer’s Report balanced?
• If you have any questions, please feel free to contact• Lynn Chase, Director of Management Services ([email protected]) (607) 588-6291 ext. 172
• Next month: • Session Four: Investment Report and Extra-Classroom Activity Fund Reports