Community Accountancy
Kingston Voluntary Action, promoting quality in partnership

 

 

Account project is funded by London Councils and supports Richmond, Kingston & Hounslow.

Mafaz Ansari is the Community Accountant for Kingston & Richmond, and supports charities to build financial skills in order to promote, sustain and grow.

Mafaz's timetable is:

Monday, Tuesday Richmond CVS - 1 Princes Street, Richmond, TW9 1ED 0787933390
Thursday CVS Hounslow - 9 Hounslow Business Park, Alic Way, Hounslow, TW3 3UD
Friday KVA - Siddeley House, 50 Canbury Park Road, Kingston upon Thames, KT2 6LX

Mafaz  is happy to receive calls from both Richmond and Kingston groups at either office, or email her on communityaccountant@richmondcvs.org.uk

 

Click on the links below for more information about how Community Accountancy can help your organisation and for additional information.

 

What is Community Accountancy?

Glossary of Accountancy Terms

Financial Management & Accountancy Factsheets

 

What Community Accountancy Services can we provide at KVA?

Training Courses:                                                                   

  • Financial Controls

  • Budgeting

  • Full Cost Recovery

  • Bank Cash book & Bank reconciliations

  • Petty Cash

  • Project Accounting

  • Understanding SORP 2005

  • Cash Flow

  • Finance Reports for management committees

Also please contact Mafaz if you would like advice or support on courses, which are not mentioned here, as we may be able to provide them or signpost to you to someone who can.

 

Software Selection

 

Many voluntary organisations use Excel, Quick books or Sage.

We can help you think about whether that is the right choice for you.

Trustee Training

Could your organisation benefit from Financial Trustee Training?

 

  • This could help your trustees understand the financial statements that are presented to them on a monthly or quarterly basis

  • Be able to ask the ‘right’ questions of the treasurer

  • Make finance accessible and demystifying

  • With the outcome being reports which are read & understood & aid decision- making & growth
 

Financial Health Checks

Could your organisation benefit from a MOT?

We can offer you a financial health check

  •    
  • This will review your systems & procedures
  • Look at your financial controls
  • Discuss your financial policies

 

One to One Support

We can provide one to one support both here at KVA or at your offices.

Help can be provided in:

Setting up bank & cash books

Setting budgets & chart of accounts

Assisting in bank reconciliations & petty cash

Monitoring projects

Advice

We can provide you with advice on:

  • Charity compliance & regulations
  • SORP 2005
  • Audit thresholds
  • End of year requirements
  • Employers NI

Our Advice can be:

Face to Face       By telephone        By E-mail

 

If we cannot help you then we will sign post you to an organisation that can.

 

Signposting

We work with a range of different organisations, so we will refer you from time to time to their websites and support.

 

Glossary of Accountancy Terms

Accruals- A provision for a liability which has occurred but not been paid for example at the end of the year you hire a venue in December close off your accounts in December, but the supplier does not issue the bill until January, this is known as an accrued expense.

In accounting terms it follows the, ’matching concept.’

Income & Expenditure also Receipt & Payments -This is a simplified set of accounts and applies to small charities who are unincorporated and have an income below £100,000.Its disadvantage is that it does not always reflect a ‘true & fair view’

Cash book - A record of income & expenditure produced on a daily basis and closed off each month. You need to ensure that the closing balance of the previous month is your opening balance of the next month.

Petty Cash - Small cash held deposits used  for example postage, refreshments, stationery. A cash  book still needs to be used and the opening & closing balances still apply.

Receipt refernces need to be kept for all receipts and an authorisation procedure put into place

  • Imprest System = Having an agreed Float and topping up to that amount at the end of each month for example  the float is  £100 you spend £50 therefore at the end of the month you top up £50 to ensure that your opening balance for the next month is £100.

Bank Reconciliation - A monthly exercise whereby you match your bank cash book with your bank statements, this involves ticking from the bank statement to the cashbook. Differences can be cheques which have been issued but not cashed, income paid into the bank but awaiting clearance,direct debits or bank charges/interest not entered onto the cash book.

Prepayments - Services paid for in advance, e.g insurance, council tax water, this requires an adjustment in the accounts, follows the matching concept.

Restricted Funds - These funds are “ring-fenced” and can only be spent as specified by the funder, and by the agreed budget. If you want to spend funds differently you need to get the express permission of the funder.

It is important when receiving a grant to read all the terms & conditions.

Unrestricted Funds= These are for the general purposes of the charity, but still must comply to the objects of the charity. Examples could be donations.

SORP 2005 - Standard of accounting practice imposed  by the Charity Commission. It applies in full to charities whose income Exceeds £250,000

 

Charity Commission - the governing body of charities, holds very good publication material and also offers an advice line.

Fund /Project Accounting - When you have more than one grant or funder it is important to be able to analyse your funds accordingly.

Financial Controls Policy - You will need to build up a set of procedures and follow recommended good practice.

Bank Mandate - The signatories able to write cheques and open close and transfer funds and the amount of financial authority which they have.

Budget - An approved plan agreed at the beginning of the financial year agreedby the trustees base on known income & often using previous years as a guide.

Variance - Difference between actual & budget. An adverse variance is negative and a favourable variance is positive.

Cash flow - A prediction over forthcoming months of income & expenditure expected and an activity plan to match it. It ensures that you do not go overdrawn & indicates when your funding may run out.

Forecast - Similar to a cashflow but a prediction of future activity.

 

Financial Management and Accountancy Factsheets

Community Accoutancy Newsletter - September 2009
Including a feature on the role of the Treasurer.

Follow this link to NCVO to download the mini guide 'Introducing Funding & Finance for Voluntary & Community Groups' produced by the finance HUB.

This series provides you with direct links to two web sites that provide an excellent Factsheets on how to manage and account for charity finances. The two web sites are provided by CASH [Community Accounting Self Help] and by NCVO [National Council for Voluntary Organisations].