The treasurer of a non-profit reports the organization's finances and handles the management of the organization's finances. The organization's bylaws outline the duties of its treasurer. Financial management is an important duty of the treasurer's responsibility. How they handle everything directly affects the public image. And it should be an image of trust and confidence in the organization. The best qualities of a treasurer for a non-profit organization include attention to detail, is detail, financial literacy, and accurate record keeping. Being open to asking and answering questions is also a good quality for the treasurer of a non-profit organization.
Duties and Responsibilities of a Treasurer
The duties and responsibilities of a treasurer for a non-profit organization are many. They are responsible for all of the financial affairs of the organization. Their tasks include fixing bank accounts, managing cash flow, and investing funds according to law. A treasurer needs to be knowledgeable about who has access to the organization's funds They also need to be knowledgeable about any outstanding debts. Developing financial policies and putting a system in place to ensure the organization's solvency also fall under the responsibilities of a treasurer. Additionally, treasurers monitor petty cash policies, check signing, credit card usage, and expense reimbursement.
The budget is key to a treasurer. The treasurer must prepare a budget and facilitate it for the year. At the same time, they must keep an eye on the expenses incurred against the budget. This takes constant monitoring. The budget is a major component of the organization's success. The budget is what allows the organization to bring its mission to fruition. The budget must be approved by the board. And the treasurer must be prepared to justify its planned budget. The budget is a critical document for a non-profit organization.
A treasurer must have comprehensive knowledge of the organization's financial reports. They must keep the board in the loop about any major financial events, assessments, and concerns. This is key to the non-profit organization's good financial health. All reporting forms, including IRS forms, must be completed in a timely manner. They must also be submitted to the board for review and approval.
A good treasure is a skilled financial liaison. They are skilled at explaining and translating financial reports to board members who do not have a strong financial background or experience in finances. A good treasurer helps the board develop effective strategic planning for both the long term and the short term of the non-profit organization. This helps with facilitating the non-profit organization's mission. Without a doubt, financial management is the main focus of a treasurer. But, the board does share some responsibility.
Qualities of a Great Treasurer:
- A great treasurer will be able to put in place internal controls calls and management policies that ensure the success of the non-profit organization.
- Is one who prepares complete and accurate financial reporting of all financial affairs.
- If a great treasurer will continually assess the risks and seek ways to mitigate the risks.
- A great treasurer will keep a calendar of important dates regarding financial matters and deadlines to ensure that everything is filed in a timely manner.
- A great treasurer will have the financial reports audited whenever needed.
All around, it takes a lot of skill and commitment to be a great treasurer for a non-profit organization.