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The International Association of Lions Clubs District 306 B2

CLUB TREASURER’S GUIDE

Contents

Message from the Cabinet Treasurer _____________________________________________2

Role of the Club Treasurer ____________________________________________________3

How to start your term _______________________________________________________4

Financial Responsibilities/Duties Of The Club Treasurer _____________________________5

How you calculate the International Dues for existing and new members _______________7

Payment Instructions ________________________________________________________8

Credit On Dropped Members __________________________________________________9

Suspension Program ________________________________________________________10

Sample formkat of a Resolution to the Bank - Annexure I ___________________________11

Sample monthly account statement from LCI - Annexure II _________________________12

“Budgeted Administrative Income and Expenditure Account for the Year 2016/17” - Annexure III _____________________________________________________________13

“Administrative Receipt and Payment Account for 2 months ended 31 August 2016” - Annexure Iv _____________________________________________________________14

“Administrative Income and Expenditure Account for 2 months ended 31 August 2016” - Annexure V______________________________________________________________15

“Balance Sheet as at 31 August 2016” - Annexure VI _______________________________16

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▼ Message froM the Cabinet treasurer

30thAugust, 2016

Dear Centennial Club Treasurer,

Congratulations on your appointment as Club Treasurer for the Centennial Lionistic Year 2016/17.

The Treasurer is one of the most important appointments that the Club President makes and isone of the Key Officer in theClub. Your main responsibilities/duties are responding, recording and reporting promptly, all financial activities that are vital to the success of your club to the District and International.

Team spirit is essential since you will be working closely with the Centennial Club President, your Board of Directors,Zone Chairperson, Region Chairperson and other District Officers.

This manual will be a guideline for you to perform your tasks asthe Treasurer. I have taken into consideration non-financial professionals/individuals and presented the contents in a very simplified manner with more examples and illustrations so that you could execute your duties comfortably.

All your efforts and hard work are valuable to the success of your Club as well as that of the District, Multiple and International. Your efforts will be given due consideration and will be appreciated time to time by the District.

Further, as the Cabinet Treasurer I will be in touch with you to share your progress and extend my support if necessary for the fulfillment of your duties/responsibilities. Also there are two Deputies Lion P J KulendrarajahPMJF and Lion HiroshiniMJF.JP who are always happy to be of assistance to you, if you require any assistance.

I wish to thank Governor lion Nimal Senadheera MJF,MAF JP and the finance committee lead by Past district Governor Lion ‘Kingsley Bernard MJF for the guidance and advises given in preparing this Treasurers guide.

Let’s Welcome 100thYear and make this a ‘Great Year’.

I wish you Success and Happiness.

Yours in Service,

Lion Indhra Kaushal Rajapaksa PMJF MAF District Cabinet Treasurer 2016/17

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▼ role of the Club treasurer

A very Important Official of a Club because:

He or She

1. Is the one who is responsible to ensure that the Club has enough money to carryout planned projects during a year. He/sheis alsoresponsible to oversee how the money is spent on these projects.

2. Collects dues from Club Membership and pay International and District dues to theDis-trict Cabinet Treasurer

3. Reports to the Board Members and/or to the general Membership regarding the finan-cial status of the Club.

4. Is the one who maintains records of receipts and payments with regard to finances which provides clear audit trail for all transactions.

5. It is the responsibility of the Treasurer to get the accounts audited at the end of the Lion-istic Year and forward same to his successor along with the signatures of the President and the Secretary.

(Auditing can be done by a Past President of the Cub or by a Senior Club Member)

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▼ hoW to start Your terM

1. Changing the Operating Instructions with the Bank

Documents needed:

i) Extract from the minutes of the Election Meeting stating the appointment of new Office Bearers and Certified Resolution by the existing Office Bearers nominat-ing the bank, new Office Bearers and operating instructions, change of address etc. (Annex I)

ii) Completed Signature Cards by the new Office Bearers.

2. Obtain the cheque book, receipt books, seals, previous bank statements etc. from the outgoing Club Treasurer.

3. Discuss with the President and appoint a Finance Committee (Preferably 3) from Club Members so that you arein a position to share with them some of the official duties that you are entrusted as the Treasurer. ie. That you can appoint one of them to look after the finances of the Fund Raiser, the other one to help you with the collection of the dues from the members, third person to take care of the finances of the projects carried out during the year etc.

4. Ensure that you maintain two separate accounts, one for Administration and the other for Projects. You are not permitted to use the funds raised from Public for club admin-istration.

5. Obtain list of uncollected dues, if any from the outgoing Treasurer and arrange to re-cover dues.

6. Prepare a budget for Income and Expenditure considering the activities planned for the year. So that you know how much of money needed during the year for the activities.

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▼ finanCial resPonsibilities/Duties of the Club treasurer

1 Payment of Club Dues

Dues payable to Lions Clubs International (In USD per Member)

Annual dues 43 LCIF 1 New Member entrance fees 25 Family Membership

• First member 43• 2nd and up to 4th 21.5 each• Family Membership Entrance Fee 25

Member Transfer Fee 20 Student Member 21.5 For sponsoring a Leo Club:

• Annual Subscription 90• Entrance Fee per member 0.5• Organization Levy 100

Payable by annually before 30th September for the 1st Half (ie from 1st July to 31st December)

And before 31st March for the 2ndHalf (ie. from 1st January to 30th June)

REGULAR DUES PAYABLE TO THE DISTRICT(In Rupees per Member)

District Dues 800

CENTENNIAL YEAR PAYMENTS (In Rupees per Member)

Centennial District Project Fund 500

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2. Establishing Amount of Club Dues

The Treasurer, with the help of the Finance Committee and Board of Directors may decide the amount that will be charged from Club Members as annual dues. When deciding this amount, you may consider how much money will be needed to maintain the financial health of the club.

Eg. HOW YOU COMPUTE MEMBER ANNUAL SUBSCRIPTION AMOUNT

International Dues (USD 43/- @ Rs. 150/-) Rs. 6,450 District Dues Rs. 800 Centennial District Project Fund Rs. 500 LCIF Rs. 150 Club Admin Fee. (Postage, Stationery etc.) Rs. 1,000 Total Rs. 8,900

3. Managing and Keeping a track of the Membership Dues

Each month the Club Treasurer can view an itemized statement of charges and credits pertaining tohis/her Club (Pls. Ref. Annex II for a specimen)

These charges and credits may include:

• Semiannual international member dues• New Member entrance fees• Prorated new member annual dues• Fees for reinstated members• Dues for transferred members• Charges relevant to Leo Club, If you have sponsored a Leo Club

It is the responsibility of the Club Treasurer to obtain this statement monthly, verify the accuracy of it and submit to the Board of Directors for approval.

4. Preparation of Accounts

Prepare a budget for Club Administration, submit and obtain approval of the Board and send a Copy together with July MMR to the District (Ref. Annexure III)

Submit Receipt and Payments account (Ref Annex IV), Income and Expenditure Account (Ref. Annex V) and Balance Sheet (Ref. Annex VI) monthly to the Club Board and to the District.

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▼ hoW You CalCulate the international Dues

Amount Payable - Existing Members

• 1ST half of the Annual Subscription is due by 30thSeptember, 2016 The amount due will be No. of members as at 30.06.2016 x USD 21.5 and will appear in the monthly statement issued by the Lions Clubs International as at 31st July, 2016. You arrive at the rupee amount by converting foreign currency amount by the exchange rate giv-en at the top of the statement if paid during the same month of the invoice, else please refer the monthly exchange rate published in the LCI website under Member Resources/ Finance/ Exchange rates. Likewise, 2nd half of the Annual Subscription will have to be paid by 31st of March, 2017. If desired clubs can pay the full amount at the beginning of the year.

Amount Payable – New Members

• For new members New Member entrance fee of USD 25/- is payable for each mem-ber. Billing for a new member begins on the 1st of the month in which the member joins the Club.

If a New Member joins during the year schedule of prorated charges applicable and Family/Student Members with New Member entrance fee is given below for reference:

Member accepted by club in the month of..

Billing date for new members

Semi-Annual Dues billed for each new member USD

New member entrance fee (Not pro - rated) USD

Total Semi- Annual dues billed USD

Total Family/ Student Member Pro-rated dues with entrance fee waived

July July 1st 20.50 25.00 45.50 $10.25August August 1st 17.08 25.00 42.08 8.54September September 1st 13.67 25.00 38.67 6.83October October 1st 10.25 25.00 35.25 5.13November November 1st 6.83 25.00 31.83 3.42December December 1st 3.42 25.00 28.42 1.71January January 1st 20.50 25.00 45.50 10.25February February 1st 17.08 25.00 42.08 8.54March March 1st 13.67 25.00 38.67 6.83April April 1st 10.25 25.00 35.25 5.13May May 1st 6.83 25.00 31.83 3.42June June 1st 3.42 25.00 28.42 1.71

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▼ PaYMent instruCtions

For International, District and Centennial dues write an ‘A/c Payee’ cheque in favor of ‘Lions Clubs International – District 306 B2’ and forward the cheque under Registered cover to :

Lion I.K. Rajapaksa,District Cabinet Treasurer,District Secretariat – District 306 B2,No. 120/20, Vidya Mawatha,Maitland Place,Colombo 7.

On the reverse side of the cheque you may indicate the purpose and the year clearly.

Please do not directly credit any account because it may remain unidentified for a long period.

Acknowledgement

• On receipt of the cheque the Cabinet Treasurer will issue a receipt acknowledging the payment.

(Please note that with regard to International Dues, it will take at least 2-3 weeks to get your account updated at LCI from the date of receipt of the cheque by the Cabi-net Treasurer)

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▼ CreDit on DroPPeD MeMbers

Semi-annual international dues are billed on July 1 and January 1 based on the membership stat-ics shown on international headquarters as of June 30 & December 31.

Full six months credit will be issued on dropped members reported 30 days after the Semi An-nual Membership Dues Billing, provided those reports reach international headquarters no later than the close of the following month (no later than January 31 and July 31)

June reports received in June will not receive credit as the drops were processed prior to the Semi Annual Membership Dues Billing.

June reports received in July will receive credit as the drops were processed after the Semi-annual Membership Dues Billing. For December the same applies as June.

‘’NO CREDIT WILL BE ISSUED ON MEMBERS DROPPED ON REPORTS RECEIVED AFTER JANUARY 31 AND JULY 31’

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▼ susPension PrograM

Payment is expected within the established terms for all club account balances. Any club which has past due balances in excess of USD 20 per member or USD 1000 per club whichever is less, outstanding past 150 days will be automatically suspended including the charter, rights, privileges and obligations of the Lions Clubs for a period not to exceed 90 days.

During this period the Club must pay the entire amount billed to the club, before the suspension status is lifted. If the club does not pay this amount within 90 days, the Club charter will be automatically cancelled.

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annexure i

The Manager,……………………………Bank,……………………………,……………………………

Dear Sir,

EXTRACT FROM THE MINUTES

It is hereby resolved that the authorized signatories for the ………………………………………Account No./s ……………………………………….. and ………………………………………..maintained at ……………………………………………………………… (Bank/Branch) by theLions Club of……………………………………………….shall be the following Office Bearers with effect from …………………………….

Lion ………………………………… - PresidentLion ………………………………… - SecretaryLion ………………………………… - Treasurer

The resolution was approved unanimously at the Board Meeting held on …………………………….. 2016At ……………………………………… Proposed by Lion ………………………………………… and Seconded by Lion …………………………………………

The Authorised Signatories for withdrawals of funds shall be …………………………………………. and Either …………………………………………. or……………………………………. (Designations).

Certified that above Resolution was adopted at the Board Meeting held on …………………………….2016 At ………………………………………….

Yours faithfully,

……………………………… ……………………………… ……………………………… Lion Lion LionPresident 2015/2016 Secretary 2015/2016 Treasurer 2015/2016

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annexure ii

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Budget - Administrative Income & Expenditure F/Y 2016/17

INCOME Rs. Rs.

SubscriptionsExisting Members 34 Members @ Rs.10,000 340,000 New Members 02 Members @ Rs.12,000 24,000

Entrance Fees New members 02 Members @ Rs.3,750 7,500

Other Income Interest Income ( If applicable ) 8,000

379,500 A

Less: EXPENDITURE

Annual Subscription International Dues 36 Members @USD 43 @ Ex Rate 150 232,200 District Dues 36 Members @ Rs.800 28,800 Entrance Fees International Dues 02 Members @ USD 25 @ Ex Rate 150 7,500

Leo LevyLeo club of_____________ ( if applicable ) 01 club @ USD 90 @ Ex Rate 150 13,500 Leo Pins ( if applicable ) 20 Members @ USD 5 @ Ex Rate 150 15,000

LCIF 36 Members @USD 1 @ Ex Rate 150 5,400 District Convention Registration 36 Members @ Rs.800 28,800 ( if collected from members )OthersCost of 100% attendance award Pin 20 Members @USD 05 @ Ex Rate 150 15,000 Bank Charges (Debit Tax & cost of cheque books) 200 Cost of Printing 15,000 Cost of Stationery 1,000 Cost of Postage 6,184 Deprecaition on Assets ( if applicable )

368,584 B

Income over Expenditure 10,916 A-B

annexure iii

………………………… ………………………… ………………………… …………………………Treasurer Date President Date

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Administrative Receipts & Payments Account For the 2 Months Ended 31.08.20162 Months ended 31 - Aug 16

Month ended 31 Aug 16

Month ended 31 July 16

Receipts Membership Fees Members - 26 260,000 200,000 60,000

Admission Fees New Members ( 1 member ) 3,750 - 3,750 Other Income -

263,750 200,000 63,750Less: EXPENDITURE

Less : Payments International Dues ( 34 members ) 219,300 219,300 - District Dues ( 34 members ) 27,200 - 27,200 Leo Levy - - - Leo Pins - - - Bank Charges 200 - 200 News Letter - - - Postage 500 300 200

247,200 219,600 27,600

Receipts over Payments 16,550 (19,600) 36,150 Balance B/F 50,000 66550 46,950 Balance C/F 66,550 46,950 83,100 Submitted at board meetings on 10-Sep-16 10-Aug-16

……………………………………. …………………………………… Treasurer President

annexure iv

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annexure v

Administrative Income & Expenditure Account for 2 months Ended 31-08-2016

2 Months ended 31 - Aug 16

INCOMEMembership Fees Existing Members 34 x 10,000 340,000.00New Members 01x 12,000 12,000.00

-

- Amission Fees - New members 3,750

355,750 ALess: EXPENDITURE -

Annual Subscription - International Dues 34 x $ 43 x Rs. 150 219,300District Dues 35 x 800 28,000

Entrance Fees - International Dues - District Dues -

Leo LevyLeo club of ____________ -Leo pins -OthersBank charges 200Postage 500

248,000 B

Income over Expenditure 107,750 A-BIncome & Expenditure B/F 25,000 DIncome & Expenditure C/F 132,750 (A-B)+D

…………………………………………….Treasurer

……………………..…………President

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Balance Sheet as at 31 August, 2016

31-Aug-16Rs.

AssetsNon - Current AssetsOffice Furniture 12,000Computer 50,000

62,000 AInvestmentFixed Deposits 100,000 B

Current AssetsReceivable - Project A/c 22,000Receivable - Administration A/c 10,700Cash at bank - Project A/c 27,420Cash at bank - administration A/c 66,550Cash in hand -

126,670 C

Less ; Current LiabilitiesPayable - Project A/c 9,250Payable - Administration A/c 10,000

19,250 DNet current Assets 107,420 E=C-DNet Assets 269,420 A+B+E

Financed ByIncome & Expenditure A/c - Administration 132,750Income & Expenditure A/c - Project * 136,670

269,420

…………………………………………….Treasurer

……………………..…………President

* Similar to Admin. A/c you can prepare the Project a/c by taking into Account.

annexure vi