A balance sheet is prepared monthly and reviewed by the Vestry/Bishop’s Committee Monthly reports comparing income and expenses to approved budget are prepared and reviewed by the Vestry/Bishop’s Committee Accounting records are up-to-date and monthly financial statements are prepared on a timely basis The Vestry/Bishop’s Committee submits the annual budget for approval by the congregation All appropriate federal, state, and local information returns are filed on a timely basis Bank statements and cancelled checks are received and reconciled by a person independent of the accounts receivable/payable functions (see note below regarding smaller congregations) Bank reconciliations are reviewed by a person independent of the accounts receivable/payable functions and bank reconciliation function (see note below regarding smaller congregations) Petty Cash (as applicable) A petty cash fund is maintained for payment of small, incidental expenses The church follows a policy limiting the amount that can be reimbursed by the petty cash fund Supporting documentation is required for all petty cash disbursements A petty cash voucher is filled out with supporting documentation, name of person being reimbursed, and proper authorization Access to petty cash is limited to one person who is the fund custodian Unannounced counts of petty cash are made by someone within the organization other than the petty cash fund custodian Accounts Receivable (Cash Receipts) A chart of accounts that provides for the categorization of receipts is used Checks are endorsed “for deposit only” immediately upon receipt All cash received must be counted and verified by at least two church volunteers (see note below regarding smaller congregations) The person counting the receipts is not the person who prepares and delivers the deposit (see note below regarding smaller congregations) The person depositing receipts is not the person recording the transactions in accounting software (see note below regarding smaller congregations) Duplicate deposit slips and copies of checks are retained in the files All cash and checks are deposited intact and on a timely basis Restricted contributions are clearly identified and recorded as restricted on the general ledger
A balance sheet is prepared monthly and reviewed by the Vestry/Bishop’s Committee Monthly reports comparing income and expenses to approved budget are prepared and reviewed by the Vestry/Bishop’s Committee Accounting records are up-to-date and monthly financial statements are prepared on a timely basis The Vestry/Bishop’s Committee submits the annual budget for approval by the congregation All appropriate federal, state, and local information returns are filed on a timely basis Bank statements and cancelled checks are received and reconciled by a person independent of the accounts receivable/payable functions (see note below regarding smaller congregations) Bank reconciliations are reviewed by a person independent of the accounts receivable/payable functions and bank reconciliation function (see note below regarding smaller congregations) Petty Cash (as applicable) A petty cash fund is maintained for payment of small, incidental expenses The church follows a policy limiting the amount that can be reimbursed by the petty cash fund Supporting documentation is required for all petty cash disbursements A petty cash voucher is filled out with supporting documentation, name of person being reimbursed, and proper authorization Access to petty cash is limited to one person who is the fund custodian Unannounced counts of petty cash are made by someone within the organization other than the petty cash fund custodian Accounts Receivable (Cash Receipts) A chart of accounts that provides for the categorization of receipts is used Checks are endorsed “for deposit only” immediately upon receipt All cash received must be counted and verified by at least two church volunteers (see note below regarding smaller congregations) The person counting the receipts is not the person who prepares and delivers the deposit (see note below regarding smaller congregations) The person depositing receipts is not the person recording the transactions in accounting software (see note below regarding smaller congregations) Duplicate deposit slips and copies of checks are retained in the files All cash and checks are deposited intact and on a timely basis Restricted contributions are clearly identified and recorded as restricted on the general ledger
fillable_congregational_audit_form.docx