Money MattersManaging the Class Treasury2013 New Class Officer Training

What is the class treasury?

• Monies used to support class activities that are open to the entire class such as Reunion and class board operations. – If the event is not open to the entire class, the treasury should not

be subsidizing the event• Held in a checking account or other guaranteed investment. • Pays expenses approved by the class board.

Establish & Maintain Bank Account

• Account should be named “Mount Holyoke College Class of _______”• Use class EIN number, not personal SSN• Class President and Treasurer should both be signatories on all

accounts

Manage the Funds of the Class

• Maintain records on fiscal year basis (July 1–June 30)• Collect dues authorized by the class board. • Record and promptly deposit all receipts and pay all bills as approved

by the Class Board. • Reconcile bank statements on a monthly basis.

How is the class treasury funded?

Dues

Class Approved Fundraising Activities

Class Dues – the details• Dues are paid in 5-year increments.

• The Class Treasurer is responsible for collecting dues and for the overall well-being of the class treasury.

• The Treasurer should propose a dues level for the next 5 years prior to each reunion.

Class Dues – Collecting

• Collecting dues at Reunion is the most effective.

• 5-year dues should be a minimum of $35.00.

• Classmates who pay dues in cash should be issued a receipt.

• Set up a online merchant account (PayPal, Google Wallet, etc.) for the easiest payment transaction.

Financial Reporting• The Alumnae Association will complete the required annual IRS

filings if you complete and file Annual Financial Report (Form C) by August 30 each year.

• Update Class Board periodically (minimum annually) on activity and balances.

• Participate in class board meetings or conference calls and give financial report.

• Keep copies of financial reports, class books, receipts and documentation for 7 years.

Form C

• The IRS requires all classes, clubs and affiliates to file Form 990, 990-EZ or 990 N annually.

• The Alumnae Association does a group filing – you must complete an on-line annual financial report (Form C) before August 30th of each year.

• Information needed: class name, officer contact information, bank account information, opening balance (7/1) and closing balance at end of fiscal year (6/30).

Transferring the TreasuryBy September 15 following reunion:• Make arrangements to add the new Treasurer and President to the

bank accounts. • Plan a conference call to brief the new treasurer:

– Fiscal standing and background on the treasury. – Dues – how much? Suggestions?– Reunion finances.

• Provide the following:– All bank statements and records.– Access to bank accounts, PayPal, etc. – List of dues paying members.

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REUNION!

Can we use our treasury?

• The treasury can be used to defray costs of items since it benefits the entire class

• Use funds to defray specific costs such as:– Reunion mailings– Reunion committee administrative expenses– Honorary guests (meals, accommodations, etc.)– Reunion scholarships– Gifts– Large projects that exceed standardized fees

Reunion and Treasurers

• Leading up to Reunion, class treasury pays up front costs of all reunion expenses

• Treasurer responsible for recording all reunion transactions and closes books with Reunion chair

• Treasurer presents preliminary financial report at Reunion• Checks from AA for registration fees collected are sent to class

treasurers in late May and June• A final Reunion financial report should be submitted to the Class

Board

FREQUENTLY ASKED QUESTIONS

How much money should we have?

Try to keep around $5k in your treasury to cover mailings and other activities such as birthday cards, memorials, scholarships etc.For 25th and 50th reunion classes, plan carefully:• Evaluate your Treasury at 20th and 45th reunion• 25th and 50th reunions have high attendance. Plan ahead – they

usually have special components that are expensive and might be subsidized by the class treasury.

Can we invest our treasury?Besides a checking account (which is mandatory), class boards may:• Open a savings account • Invest class money in a Certificate of Deposit or any instrument that has a

guaranteed return of the principal.• No class money may be invested in the stock market or any other at risk

financial entity• The Treasurer and President have fiduciary responsibility for all the class

funds. 

Money? What money?When dues don’t cover class expenses, get creative:• Organize a telephone campaign to collect dues. • Increase dues and solicit differential from those who have paid and full

amount from others who have not • Hold class functions such as a luncheons or mini-reunions and use these

events to raise money • Design a class item to be sold to all classes and clubs through the

Quarterly and through emails.

Mini-Reunions• They should be revenue neutral (i.e. break even). Any ‘profit’ should

be contributed to the treasury• If mini-reunions are planned regionally for the entire class, class

funds can be used to defray cost with Class Officers’ approval.• It is not appropriate to use class funds for small exclusionary groups

that are not open to all.

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A note on fiscal responsibility

• Have the books reviewed every 5 years by another class officer.

• All decisions about money must be approved by a majority of class officers.

• Reimbursements should only be made for approved expenditures and receipts must be provided.

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Banking Suggestions

• Utilize the services of a bank that has branches all over and is friendly to non-profits.     

• Treasurers change but the accounts don't have to – will eliminate some of the current challenges involved with changing signatories, ordering new checks, etc.

• Strongly recommend setting up the account for on-line banking.

Resources

• To learn more about your role, review the Class Officers’ Handbook– http://www.alumnae.mtholyoke.edu/volunteers/files/2012/10/Class-

Officer-Handbook-FINAL.pdf• To learn more about the Alumnae Association’s resources, follow the

link below– http://www.alumnae.mtholyoke.edu/volunteers/res/classes/

• Amanda Carr, Alumnae Association, 413-538-2738

Classes and Reunions Committee

In addition to your class liaison from the Classes and Reunions Committee, please feel free to reach out to us:• Diana Deane, ddeane75@gmail.com; 609-737-1845• Kate Gordon, kkgordon@gmail.com, 410-726-1201

Thank you!