Managing Your Money Why does your organization need
- Slides: 8
Managing Your Money
Why does your organization need a money management plan? • To fulfill its purpose • To control your finances and cash flow • To maintain good relationships with your suppliers of goods and services • To establish your credibility in the community • To save you time and a great deal of worry • To devote time to the actual purposes of your organization
What does the everyday management of your money include? Systems: • Accounting • Banking • Money-handling • Petty cash • Payroll • Payables and receivables • Grants management • Handling cash flow issues
What does the everyday management of your money include? Decisions: • Computerizing your accounting • Types of bank accounts • What constitutes full-time employment • Which bills and obligations to settle first
What issues are involved in being tax -exempt? • Apply for state tax-exempt status • Make sure that the correct forms are used when purchases are made • Remove taxes that you've been paying on your phone, utilities, and any other regular payments • Fill out tax forms • Arrange and undergo a yearly audit
How do you handle cash flow? • Try to anticipate when cash flow problems may occur • Set your priorities beforehand • Develop a cash flow contingency plan based on your priorities and the situation of your organization
What are some day-to-day money management issues? • Shopping for goods and services • Negotiating with funders • Maintaining systems
What are some investment issues? • A Certificate of Deposit • A Money Market Account