Section Treasurer Training IEEE-Region 4-Jan08 [01]

1. Section Treasurer TrainingIEEE-Region 4-Jan08 [01] Institute of Electrical & Electronics Engineers Region 4 – Central USA Section Treasurers Training e-Meeting - January, 2008 Prepared By – Region 4 Treasurer Sat Basu [satbasu@ieee.org] January 03, 2008

2. Section Treasurer TrainingIEEE-Region 4-Jan08 [02] Purpose • The purpose of this Training is to provide Guide Lines on IEEE Rules and Regulations to Section Treasurers for Financial Record Keeping, as Mandated by the United States Internal Revenue Service • The Institute Recognizes Treasurer’s Untiring Works on this Activity and provides Information on Help on various Items. • IEEE Appreciates very much on Volunteering Efforts for this Time Consuming Job and Depends on the Treasurers for completing all Financial Records and IRS obligations.

3. Section Treasurer TrainingIEEE-Region 4-Jan08 [03] Introduction • IEEE is a Large and Complex Organization with SIX Boards, 40 Societies, 300 Sections, 1200 Chapters, 400,000 Members. It is a Diverse Organization with Different View Points in its Operating Units. • Financial Reporting is prepared in unique way using the IEEE Form L50. IEEE prepares Financial Reports, as determined by IRS. • IEEE is a Nonprofit Tax Exempt Organization approved by United States Internal Revenue Service, per IRS Code 501 (C) (3). • IEEE is responsible for maintaining records for all Units Worldwide • All Treasurers contribute significantly by maintaining appropriate records locally and by filing timely annual reports. • Compliance with IEEE Rules, Policies and Processes is very important in maintaining the IEEE nonprofit tax-exempt status

4. Section Treasurer TrainingIEEE-Region 4-Jan08 [04] Reporting Finance • Sections and all other segments of IEEE are integral parts. Operation of all Segments must follow IEEE Rules, since they are parts on IEEE • Delays in submitting the Annual Financial Report create a great deal of difficulty for IEEE to submit the Tax Return to IRS • Sections and all other Treasurers must submit the Financial Reports by scheduled date. Sections and other Segments receive IEEE Funding (Rebate/Allocation) on submission of their respective Financial Reports • Subsections, Chapters and Affinity Groups are sub-units of Sections. Section Treasurer is Responsible for obtaining Reports from them and Submit all to IEEE. The Section Treasurer can also submit one combined Report to IEEE , including Revenue, Expenses and other Details.

5. Section Treasurer TrainingIEEE-Region 4-Jan08 [05] Important Financial Information IEEE Annual Budget => $200M IEEE Reserve => $150M • Revenue • Membership Dues => $30M (RAB) • Conference Receipts => $50M (TAB) • Publications => $100M (PSPB) • Others => $20M (Incl. Invest. Returns) • Expense • Membership Services => $50M (RAB+ADMN) • Sections & Stud. Bran. => $10M (RAB+ADMIN)) • Conference Services => $45M (TAB+ADMN) • Publications Services => $95M (PSPB+ADMN)

6. Section Treasurer TrainingIEEE-Region 4-Jan08 [06] Responsibilities • IEEE Fiscal Year is January 1 through December 31 each calendar year • The Section Treasurer must file the L-50 Annual Report for his/her term of office by the filing deadline in February of the following year • A Section Treasurer retains his/her office until the successor Treasurer is elected and assumes office, or the Section Chair relieves the Treasurer. • All Section Treasurers must collect Financial Reports from Previous Treasurer or Chair for past seven years • All Financial Reports should Audited Internally.

7. Section Treasurer TrainingIEEE-Region 4-Jan08 [07] Duties and Obligations • Become familiar with IEEE Accounting Policies and Procedures (www.ieee.org/policies) • Open an IEEE Concentration Banking Account • Collect Financial Records and Reports from the outgoing Treasurer • Prepare Annual Budget and get approved by the Executive Committee • Maintain all Receipts and Disbursements in an approved Account Book or Computer Spreadsheet as Financial Record • Make all payments per approved budget and per IEEE Policies • Attend Unit Executive Committee Meetings and Present Finance. • Prepare Annual Financial Report (L50) & send it to IEEE on Time

8. Section Treasurer TrainingIEEE-Region 4-Jan08 [08] The Annual Financial Report • The Annual Financial Report IEEE for all Sections and Segments must be prepared on IEEE Official Form L50 • The Report L50 must include all Revenue and Expenses for all Section Activities throughout the year • All IEEE and SSVR (Section Support Via Region) funds must be included properly • The Report L50 must be submitted by Scheduled Time • A unit officer (other than Treasurer) must Review the Financial Report • The Section Treasurer and Chair must sign the certification page of the Financial Report L50

9. Section Treasurer TrainingIEEE-Region 4-Jan08 [09] Bank Account • All Section should utilize IEEE Concentration Banking Account System and open IEEE CBRS Account • IEEE Rebates, Region SSVR and other Funds can be Credited Directly into the CBRS Accounts. Many Expenses can also be Debited directly out of the CBRS Accounts. A Major part of Accounting would be prepared by the CBRS • Local Depository Accounts are not advisable but permissible • The legal name of the IEEE is the "Institute of Electrical and Electronics Engineers, Incorporated" • Individual Name accounts are not Permissible for any IEEE Transactions • For Official Bank Account Signatures, Please review the Policy on the web (www.ieee.org/treasurer)

10. Section Treasurer TrainingIEEE-Region 4-Jan08 [10] Funding Sources • Funding from the Institute • Section Rebate • Special Rejuvenation Fund • Funding from the Societies • Conferences Allocation • Chapter help and • Funding from Region • SSVR (Section Support Via Region) • Pace Project • Special Technical Project • Funding from IEEE-USA • Special SPAC, MPAC, Projects • Special Membership Development

11. Section Treasurer TrainingIEEE-Region 4-Jan08 [11] Financial Responsibilities • Each IEEE Unit (Section) must have Reserve Funds • The Unit Officers must be free of all Conflict of Interest on IEEE Transactions • Note the IRS Approval and Employer Identification Number EIN 13-1656633, and use them wisely when necessary • All IEEE Units are Exempt from United States Federal Income Tax • IEEE Combines all Unit Revenue and Expenses and files Tax Returns to United States Internal Revenue Service IRS

12. Section Treasurer TrainingIEEE-Region 4-Jan08 [12] Other Information • Treasurer Job Description http://www.google.com/search?hl=en&q=IEEE+Treasurer+Job+Description&btnG=Google+Search [DOC] Officer Training, Treasurer • Treasurer Training http://www.ieee.org/portal/cms_docs_iportals/iportals/volunteers/sections-congress/2005/presentations/FINANCIAL-MANAGEMENT-Lillie.pdf (www.ieee.org/organizations/rab/scs/Required_Reporting/rebateschedule.html) • Section Rebate Schedule (www.ieee.org/organizations/rab/scs/Required_Reporting/rebateschedule.html) • IEEE Policies (www.ieee.org/policies) • IEEE Bank Account (www.ieee.org/treasurer)