It is important to keep your club’s funds in order. The club’s treasurer will make sure information is recorded correctly and is reconciled. If you have any concerns, drop in and see the Clubs Co-ordinator.
- Keep a record of petty cash (most clubs trip up on this one).
- Keep a record of all club members with the amount of the membership.
- Keep a record of all receipts issued and received by your club, by way of a receipt book.
- Keep all bank statements for the financial year.
- Issue receipts for the amount received for club membership.
All payments should be made by direct debit. It is not satisfactory to pay cash to someone out of the cash receipts taken that day. To reimburse someone who has paid out of their own pocket, a direct debit is preferred.
GST (Goods and Services Tax)
It’s important to note that clubs need to pay GST on all expenses. Many businesses issue quotes as GST exclusive, and you need to remember to include that in your budget calculations. If it’s not clear if a bill includes GST then it’s best to check, as it could actually be 15% more expensive!
Also, if the club’s annual income is more than $60,000 then you must be registered for GST. If your club’s income is more than $60,000 and it is not currently registered for GST its best to come in and have a chat with us about what you need to do next.
Liability for Debts and a bit about Incorporation
All clubs and societies are considered unincorporated, unless they incorporate separately. All members of unincorporated societies can be held responsible for any debts they may incur. While the UCSA offers some protection to groups who are affiliated, the group or persons running the group who enter the contracts will incur those debts, responsibilities, and liabilities on behalf of the club and will be personally liable to ensure the contracts are honoured or debts paid. To become incorporated visit http://www.societies.govt.nz for everything you need to know. Most of the clubs and societies affiliated to the UCSA are not incorporated.
Petty cash is a small amount of cash kept on hand for these items. If you are in any doubt over the club’s money situation, come and see the Clubs Co-ordinator, before you find yourself getting into difficulties.