Managing school fundraiser finances
Managing school fundraiser finances comes with a lot of responsibility—it’s more than just collecting donations. You track expenses, record everything properly, ensure compliance with IRS regulations, and keep all the paperwork organized. As the Group Treasurer for your PTO, booster club, or parent organization, you know how vital it is to stay organized. If you’re new to the role, it can feel overwhelming. But don’t worry—understanding financial literacy and using the right tools can make a huge difference.
Fundraising has evolved over the years, and so have the tools to help. Platforms like FundHub simplify what might seem like an overwhelming job—making it easier to track donations, manage receipts, handle tax compliance, and more. Whether you’re a seasoned Treasurer or just learning the ropes, combining financial knowledge with smart software can transform how you manage school fundraisers.
Let’s break down what a Group Treasurer does, why financial literacy is so important, and how using tools like FundHub can streamline your job!
The Role of a Group Treasurer: More Than Just Balancing the Books
The Group Treasurer is often the unsung hero of a successful fundraiser. You’re not just counting money—you’re responsible for ensuring every dollar is properly accounted for and that your school or group is complying with the law. Here are some of the key tasks you handle:
- Managing the Budget: Every fundraiser needs a plan, and it’s your job to create and manage the budget. You’ll outline expected income and expenses, track how the fundraiser is performing, and make sure that funds are being allocated correctly. Staying on top of the budget is critical to meeting your goals.
- Tracking Donations: Accurate tracking of donations is essential for transparency, financial accountability, and legal compliance. Whether donations come in through cash, checks, ACH transfers, or digital wallets like PayPal and Apple Pay, they need to be carefully logged and reported. For each donation, you should record:
- Donor’s name and contact information
- Donation amount
- Payment method (cash, check, ACH, digital wallet)
- Date received
- Purpose of donation (e.g., specific project, general fund)
- Issuing Receipts: When a donor contributes $250 or more in a single donation, the IRS mandates that your organization provides a written acknowledgment, or receipt, for the donor to claim a tax deduction. If you fail to issue this receipt, the donor risks losing their tax benefits, and your organization may face scrutiny for non-compliance with IRS regulations.
- Providing these receipts not only protects the donor but also demonstrates your organization’s transparency and professionalism. It ensures compliance with the IRS while building trust with your supporters, showing that your organization operates with integrity and follows all legal guidelines.
- What to Include in a Receipt: To meet IRS requirements and maintain good standing, your receipt must include:
- Organization’s name and full address
- 501(c)(3) number (Tax-exempt status identifier)
- Total donation amount
- You must include a statement indicating whether any goods or services were provided in exchange for the donation.
IRS Compliance
Nonprofits, including school fundraising groups, are required to file annual tax returns with the IRS. Whether you file a Form 990-N, 990-EZ, or full Form 990 depends on your group’s income level, but an EIN is needed for all filings. This EIN ensures that your group’s tax returns and finances are associated with the right entity. The Federal EIN is a unique 9-digit number assigned by the IRS to identify your nonprofit organization. It functions much like a social security number for individuals or a tax ID for businesses, serving as your organization’s official identity for tax reporting, banking, finances, and other legal and financial activities.
How FundHub Makes managing finances Easier
Let’s talk about how tools like FundHub can simplify your role as a Group Treasurer. FundHub is designed specifically for school fundraisers, offering solutions that eliminate the manual work in financial management. Here’s how it helps:
- Real-Time Donation Tracking: Stop waiting for updates. With FundHub’s Event Dashboard, you can track donations and finances in real time, keeping you fully informed of your fundraiser’s progress and whether you’re meeting your goals.
- ACH Transfers and Flexible Payments: Managing checks and cash slows things down, but FundHub makes it easy with ACH transfers and digital wallets like PayPal, Apple Pay, and Google Wallet. This speeds up donations and keeps tracking simple.
- Employer Match Programs: FundHub makes it easy to double donations through employer match programs. It identifies potential matches and guides donors through the process, helping you maximize your school’s fundraising efforts.
- Effortless Compliance: FundHub manages IRS compliance by organizing donations, issuing receipts, and creating necessary reports, so you can stay focused on fundraising without worrying about missing documentation.
FundHub’s real-time tracking, automated receipts, and flexible payment options help simplify the financial process, so you can focus on what matters—raising funds for your school and having fun!
Ready to simplify your fundraising efforts? Schedule a demo and see how FundHub can transform the way you manage finances for your next fundraiser!