Yorkshire and Humber Region Treasurers’ Workshop: Financial Guidelines and Best Practices

1. WelcometoYorkshire and Humber RegionTreasurers’ WorkshopJanet Matthews YAHR TreasurerAngie Grain YAHR networks co-ordinator 10.30 – 15.00 Friday 19th October 2018

2. Morning Programme

3. Aims of the workshop • How can YAHR Help you? • How can we help each other? • An opportunity to share good ideas and also share difficulties • How can we ensure that we operate effectively and within U3A guidelines and Charity Commission rules?

4. Role of the Treasurer- Group Discussion • What is/should be the role of the Treasurer within your U3A? • What help or support do you need – and do you get it? • What obstacles make things more difficult for you? How do you overcome them? • What is your role in the Strategic Planning of your U3A? • Do you have any good ideas or examples of good practice that you could share with others? • How does the charitable status of your U3A affect you? • Do you have a ‘Job Description’ or ‘Role Description’? Would it be useful, especially for succession planning?

5. Group discussion • Examples on tables • Discuss in seven groups • List points on flipchart and pass to the next table • Feedback to group

6. Finance By John Bent (London Regional Trustee and member of the National Office Finance Committee)

7. Finance All U3As are Charities

8. Current recommended OBJECT • Object • The charity’s object (“the object”) is the advancement of education and in particular the education of older people and those retired from full time work, by all means including associated activities conducive to learning and personal development * • *may wish to add “in xxxx and surrounding district”

9. Example of “2 part” object • The Objects of The U3A are: • i) to advance the education of the public and in particular the education of older people no longer in full time gainful employment in XXXXX and its surrounding locality. • ii) The provision of facilities for leisure time and recreational activities with the object of improving the conditions of life for the above persons in the interests of their social welfare.

10. Finance All U3As are Charities Comply with CC Rules Comply with HMRC Laws Comply with your Constitution

11. Finance All U3As are Charities All Charities must produce accounts

12. Finance What Accounts must a U3A produce ?

13. Finance What Accounts must a U3A produce ? For members (AGM) Annual Accounts For Trustees (Committee Meetings) For Charities Commission (possibly)

14. Finance What Accounts must a U3A produce ? Two distinct models for U3As 1. Fully inclusive subscription 2. Basic subscription and pay extra for activities with costs

15. Finance What Accounts must a U3A produce For Trustees – Committee Meetings ? Present a Bank Reconciliation Important to agree an annual budget Don’t have to present at every Committee Meeting – but at least half-yearly

16. Finance What Accounts must a U3A produce For Trustees – Committee Meetings ? Decide on best format for accounts Easy to understand & informative Income & Expenditure and Assets & Liabilities

17. Finance What Accounts must a U3A produce ? For Charities Commission If Gross Income over £5,000 per annum Your U3A must register with Charities Commission (CC 21b) No Annual Return required if income below £10,000

18. Finance What Accounts must a U3A produce ? For Charities Commission Gross Income over £10,000 below £25,000 Total Income and Expenditure reported on Annual Return

19. Finance If Gross Income over £25,000 Submit your Annual Accounts (approved at AGM) with your Annual Return Include prior year in same format External scrutiny by independent examiner required

20. Finance Your Accounts are the product of your books of accounts What goes through them ?

21. Finance Income Membership fees Gift Aid Gross Social activities income Gross Groups income Other General income (interest, sale of assets, grants)

22. Finance Income All monies received by the U3A are its members’ asset Trustees are responsible for the assets of the U3A

23. Finance Expenditure Membership Subscription (formerly Capitation) Gross Social activities expenditure Gross Groups expenditure Other General expenditure (monthly meetings, overheads, purchase assets)

24. Finance All receipt and payment transactions must go through the U3A bank accounts No independent group bank accounts No members’ personal bank accounts No independent cash floats

25. Finance Handling Payments & Receipts Payments – dual authorisation by Trustees Debit Cards Prepaid Cash Cards

26. Finance Handling Payments & Receipts Receipts Cash / Cheques/ Bank Transfers/ Standing Orders

27. Finance RESERVES Defined in your Constitution Usually 6 months expenditure If excessive……. Gift Aid

28. Afternoon Programme

29. The Beacon System Support for Treasurers Frank Bailey National Support Lead

30. Since mid-2015 • Of the 1062 U3As in the UK :- • 522     U3As have been sent information about Beacon268     Beacon sites have been created and of those • 264 U3As are currently  'Live Users'  • 27      U3As are currently 'Applied' and are preparing their data for migration69       U3As are currently 'Demo' and are evaluating Beacon with a view to deciding Yes or No to adoption158     U3As are currently recorded as 'Not Intending to Adopt'

31. Latest enhancements to Beacon A Privacy switch can now be set on a members record This switch hides email addresses and telephone numbers from group leaders GDPR Compliance One off temporary password generator introduced for resetting access passwords Improved security

32. Beacon Statistics LAST 30 DAYS

33. Beacon Demonstration

34. Case Studies Janet Matthews

35. SCENARIO 1 You are the U3A Treasurer for Oldtown and have asked to review the financial records of the Art Appreciation Group SCENARIO 2 You have been appointed as your U3A’s Treasurer. You find that in this U3A it has been decided that all groups will be responsible for their accounts SCENARIO 3 You are the Treasurer in your U3A. You receive a phone call from a member of the French Conversation Group to say that she has not received any confirmation of a planned trip to France. SCENARIO 4 You have recently moved to the area and have just been elected as Treasurer to your local U3A. You have received the accounts and looking at last year’s accounts you see that the accounts have a surplus of £8000

36. SCENARIO 5 You, as Treasurer, are preparing your U3A’s annual accounts. You have written a few cheques from your U3A to cash and some to pay into your bank in lieu of expenses. SCENARIO 6 Recent advice from Third Age Trust is to include accounts for all groups in the overall accounts for each U3A. Previously a U3A has excluded group income and expenditure from the organisation's accounts SCENARIO 7 You are Treasurer for Southcaster U3A and have received this emailEmail:- From: CITY SIGN & GRAPHICS LTD <callum.cooper=fleetalliance.co.uk@mail62.wdc01.mcdlv.net> on behalf of CITY SIGN & GRAPHICS LTD <callum.cooper@fleetalliance.co.uk> Dear Client Southcaster U3A Here's your invoice! We appreciate your prompt payment. Thanks for your business! CITY SIGN & GRAPHICS LTD

37. Feedback Discussion from the Case Studies • Janet Matthews and John Bent

38. General Feedback and Sharing ideas from participants • Possible outcomes from the day? • Where do we want to go from here? • Establishing a Role-based Network? • FAQs on the website? • Harnessing Social Media?