Nonprofit financial best practices include developing a clear financial plan with a realistic budget and cash flow projections, implementing strong internal controls and robust cybersecurity measures to protect data, maintaining transparency with stakeholders, and conducting periodic outside financial reviews. When your PTA has implemented sound best practices, it protects your officers from liability, grows trust in the public, and provides sound accounting practices for the life of the association.
The purpose of this letter is to describe the structure of local PTAs and to confirm that they represent independent nonprofit entities which are subject to direction only by their state PTA and the National PTA.
Gift cards are considered a monetary form of payment. Please read this policy to help your PTA best manage use of Gift Cards.
“Sunshine Funds” refer to a local PTA unit’s effort to provide assistance to an individual or family in the case of a catastrophic event, such, fire, or other disaster. While these efforts are extremely well intentioned and admirable, using the funds of a local PTA for such a cause could result in that local PTA losing their tax‐exempt status with the IRS.
Internal financial review is conducted by an internal committee. This committee should not include anyone with signature authority over the PTA's bank account or any relatives to a person with signature authority. The committee periodically reviews all of the Treasurer's records for errors.
A Local Unit's Executive Board may adopt the use of online banking systems, including, but not limited to, online banking with their primary banking provider, online payment processors, and/or online accounting tools such as Quickbooks. PTA officers that register for online access must provide access to at least one other executive member in the PTA, preferably the president. Click the link above to read more.