LOCAL ORGANIZATION POLICY & PROCEDURES

Setting up an Account

Using an Account

              Checks and Cash

              Making Deposits

Requesting Checks

              Check Requisition Form

Special Handling

Reporting

Requesting Account Information

University Policy Manual

SETTING UP AN ACCOUNT

The sponsor, which must be a faculty or staff member, sends a memo requesting a new account.  The account must also be approved by the Controller.  The Accounting Services office assigns the account number.

The signature sheet for new accounts is given to the sponsor at the time the account is approved by the Controller.  The sponsor of each club will be contacted once a year to verify that they are still the sponsor for that organization.  If not, they will need to pass on the new sponsor's name at that time. The sponsor MUST sign the signature sheet and officer signatures are optional.  Then the sheet must be returned to Sue Woods at campus box 4021. 

When the signature sheet is returned with all the required approvals, the account is set up in the accounting database by Accounting Services.

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USING AN ACCOUNT

CHECKS & CASH

Checks should be made payable to the student organization.  Checks should be endorsed with the name of the student organization on the back.  Federal Reserve Bank regulations require that the payee's endorsement be made on the back of the check in the first 1 and 1/2 inches from the left end of the check.  Checks should be accompanied by an adding machine tape showing the total of the checks being deposited.  

Run tapes on the currency.  When you have large amounts of coins you should wrap them.

Total your cash and checks on the deposit slip. When you have the deposit ready, take it to Cashiering Services.

Deposit slips may be purchased from the Office Supply section of the Physical Plant and clubs must provide their own coin wrappers.

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MAKING DEPOSITS

Deposits should be delivered directly to Cashiering Services at Plumb Hall 104.  Campus mail SHOULD NOT BE USED to send deposits to Cashiering Services.  A completed deposit slip should accompany the funds.

When the Cashier's Office processes the deposit, a computer printed deposit receipt will be produced.  One copy of this receipt will be given to the individual making the deposit and one copy will be retained by the cashier.  You should review the printed deposit receipt to verify the accuracy of the information on the deposit. Check and make sure the account number is correct and that the correct amount was deposited to your account.

Anything sold for fundraising is subject to sales tax.  The current sales tax rate is 8.3% .  This percent can be verified with Cashiering Services.

The purchase price can either include sales tax or the sales tax can be added to the purchase price. Depending upon the practice followed, the formula for calculating the sales tax varies.  The sales tax formulas for:

PURCHASE PRICE DOES NOT INCLUDE SALES TAX     

Purchase price times current tax rate equals sales tax

Example #1

Taxable sales of $35.00

Sales of $35.00 x .083=$2.91 sales tax

Total amount collected for item sold is $35.00+$2.91=$37.91

PURCHASE PRICE INCLUDES SALES TAX

Purchase price divided by 1+current tax rate equals cost of merchandise

Purchase price less cost of merchandise equals sales tax

Example #2

Sales including tax of $50.00

Taxable sales $50.00/1.083=$46.17

Sales of $50.00-$46.17=$3.83 sales tax

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REQUESTING CHECKS

The sponsor signature is required for the check requisition to be processed.  If a current signature sheet is not on file, the checks will not be processed.  An invoice and/or sales receipts must be attached or an explanation of request must be written on the requisition.  Payments to an individual must be accompanied by a Social Security Number.  Payments made to an individual may be subject to federal and state payroll tax assessments and may be reportable on a Form 1099.  If making payment to a vendor and that vendor's FEIN (Federal Employer Identification Number) is not on file with ESU, the organization may be responsible for obtaining that information.

An original and 1 copy of the check requisition must be turned in for processing to Accounting Services in Plumb Hall 103M.

If the check requisition is given to Accounting Services by 9 AM, the check may be ready by noon or early afternoon.  However, allow two days for check processing in case of computer problems.  During enrollment, checks are usually not written.  The check can be picked up at Cashiering Services.

Remember NO MONEY NO CHECK!  If the check written on the account is going to put your account into a deficit position, the check will not be processed.

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SPECIAL HANDLING


Accounting Services needs to be contacted for special handling that is needed. Checks that are lost or remain uncashed need to be cancelled.  The sponsor needs to contact Sue Woods at extension 5137 to authorize that cancellation.  In the case of a check not needed or a duplicate payment, the original check along with a memo signed by the sponsor will need to be sent to Sue Woods at campus box 4021 detailing the action to be taken.

Deposits that are made to the wrong account or incorrect amounts should be reported to Sue Woods at campus box 4021 or extension 5137.  Deposits that should have included sales tax, but the sales tax was left off, need to be corrected.  The sponsor should provide a signed memo or email to authorize the correction.

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REPORTING


Reports are available on line.  Contact Sue Woods at extension 5137 for access information. 

Discrepancies should be reported to Accounting Services as soon as possible.  A memo requesting the change along with the supporting documentation should be turned in to Accounting Services. The memo must be signed by the sponsor.

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REQUESTING ACCOUNT INFORMATION


Account information can be requested by the sponsor or an officer of the student organization.

You must know the account number to obtain information about the account or the balance in the account.

Requests for information can be made by phone, by memo or in person.

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