DR. YANGA’S COLLEGES, INC.
Wakas, Bocaue, Bulacan
COLLEGE DEPARTMENT
STANDARDIZED GENERAL RULES AND REGULATIONS
ON FUNDS MANAGEMENT
ADAPTING PREPARATION OF FINANCIAL STATEMENTS
FOR STUDENT ORGANIZATIONS
Initial Issued by
Junior Philippine Institute of Accountants – DYCI Chapter
In cooperation with the Supreme Student Council
Federation Year 2012-2013
S TU DEN T ORGANIZA TI ON FUNDS MANA GEMEN T V. 1213 |1
INTRODUCTION
BACKGROUND
The fund shall emanate from the student council fee, membership fees arising from the
SPS accredited student organization for being a member of an outside organization, fund raising
activities following the proper Guidelines as stated in College Student Handbook Chapter II,
Section V, Letter E. The Vice-President for Finance/ Treasurer/ other related position, together
with the Organizational Officers, is responsible for implementing rules and regulations in
safekeeping the funds and to ensure that there are adequate controls in place to address the
risk of unauthorized, inaccurate and incomplete recording of financial transactions.
OBJECTIVES
 To establish standard procedures on requesting of budget from College Cashier, cash
receipts from membership fee, sponsorship and other collections.
 To ensure that all cash receipts are accurately, completely and timely recorded.
 To establish standard procedures among the Student Organizations on preparing budget
proposals, cash disbursements, reimbursements and liquidation of expenses.
 To ensure that all cash disbursements are properly authorized.
 To ensure that all cash disbursements are accurately, completely and timely recorded.
DEFINITION OF TERMS
A. Budget – a realistic plan, expressed in quantitative terms, for a certain future period of
time. Through budgeting, funds are more appropriately allocated and it may also serve
as e h arks or sta dards for e aluati g orga izatio ’s perfor a e i a a ti it
with respect to financial.
B. Cash Receipt – includes cash and checks received by the organization.
C. Cash Advance – this are advances by the officers for their future use of cash from the
College Cashier after the submission of Liquidation Report of the previous cash advance.
D. Cash Disbursement – is the act of paying out or disbursing money. It includes money
paid to suppliers, spending cash, and all other expenses of the organization.
E. Liquidation – refers to listing of all income generated, requested or solely collected and
disbursements with appropriate source documents.
F. Source Documents – these are forms that serve as a proof containing vital information
about the nature and amount of the transactions. It includes Sales invoice,
Official/Acknowledgement Receipts, Deposit slips, Check, Statement of Account,
Receiving report and the like.
G. Out of Pocket Expenses (OPEs) - cash payments that an individual incurs on
behalf of the organization which may or may not be later reimbursed.
S TU DEN T ORGANIZA TI ON FUNDS MANA GEMEN T V. 1213 |2
BUDGET PROPOSAL
The Student Organization shall prepare a budget proposal representing the funds to be
disbursed in a particular activity and its corresponding expenses particularly. Budget Proposal
constitutes in annual, semestral and activity budgeting. Budget proposal shall comprise of the
following:
All projected income that will arise within the entire academic year including student
council fee, membership fee, income from various collections and sponsorships.
All projected expenses that will be incurred within the entire academic year. It should be
projected appropriately based from the past actual disbursements of the organization to
make it more probable to happen.
The Net Income or the Excess of Funds over disbursements shall be maintained to
assure that the next set of officers will have its starting fund for their term.
Annual budget shall be prepared in the beginning of the academic year incorporating all
the activities and its allocated budget for the whole academic year. Semestral Budget shall be
prepared in the beginning of a semester incorporating all the activities and its allocated budget
for the whole semester. Activity budget shall be prepared prior to the execution of the activity.
A more specific listing of income and expenses shall be made for a more concrete and
transparent presentation.
CASH RECEIPTS/COLLECTION
Cash is an important asset that must be safeguarded and controlled. Cash of Student
Organization emanates from a variety of sources including student council fee, membership
fee, sponsored programs, merchandise proceeds, collection of receivables and other
collections. All the collection of fees must be done through the College Cashier. Hand to hand
collection by the Student officers or unauthorized persons are strictly prohibited. Collection
made by the organizational officers from Raffle Tickets and Sponsorship programs are allowed
provided that accurately, completely and timely recorded and had been undergo through the
proper process as stated in the College Student Handbook.
A. Procedures in requesting collection through College Finance Department
1. Student Organization must prepare a request letter addressed to Assistant Finance
Director/Accountant stating the following:
 Kind of fee/collection,
 Amount to be collected,
 Reason of collection,
 Total number of students/members.
Attached thereto is the complete list of students (mark/exclude/note for any
exempted student/s from the collection). Prepared by Treasurer/Vice-President for
Finance; reviewed by the President; Noted by the Adviser and Program
Head/College Dean.
2. Provide a receiving copy that will serve as own records of the organization.
S TU DEN T ORGANIZA TI ON FUNDS MANA GEMEN T V. 1213 |3
3. Proceed to College Finance Department for approval and receiving of request letter.
B. Student Council Fee and Organizational Membership Fee
The collection of student council fee amounting to P 133.10 will be made every
semester. This fee is divided into 60 – 40 partition for the college student council and
supreme student council respectively to fund their activities. Organizational
Membership Fee must be approved by College Dean and Student Personnel Services
Director. Rules governing this membership fee emanate to the distinct Organizational
Constitution and By-La s alig ed ith their pare t orga izatio if it’s a e te ded
outside organization (e.g. National, Regional, Provincial Federation and the like).
C. Sponsorship
1. Collections from sponsors must be properly documented.
2. The cash received must be restricted only for the sponsored programs of the
sponsor if there specified and safeguarded by the Vice-President for
Finance/Treasurer.
3. Sponsorship package is good for one year commitment, unless stated.
4. All ongoing transactions with the sponsors must be on the knowledge of
Organizational Officers.
5. Solicitation that will be made without the consent of the Student Personnel Services
Office is strictly prohibited.
D. Other Collections
All the Collection shall be made upon the approval of the Adviser and College
Dean. All collection of an additional fund from each member shall be consulted to the
Assembly and shall be approved by the Board of Directors. (Refer to College Student
Handbook Chapter II, Section V, Letter B-8.)
1.
2.
3.
4.
5.
Collection of College Week Fee, Acquaintance Party Fee and all other related fees.
Collection of payment imposed by the parent organization.
Collections from accounts receivables.
Collections from solicitations.
Collections from fund raising activities if there is any.
E. FUND RAISING ACTIVITIES
The Student Organization shall submit the project proposal to Office of Student
Affairs (OSA) with appropriate projected income and expenses. If approved, within
seven (7) working days after the completion of the project, the proponent shall submit
the financial report supported by the receipts and invoices for proper accounting to the
OSA.
S TU DEN T ORGANIZA TI ON FUNDS MANA GEMEN T V. 1213 |4
CASH DISBURSEMENT
Cash Disbursements of the Student Organization are used to facilitate the
purchase of goods and services, merchandises, payments to suppliers, expenses from
planning and meetings, expenses for facilitating events and projects and the like. The
authorization of disbursements is within the decision of Vice President for
Finance/Treasurer and President; and notification of the Adviser and Program
Head/College Dean.
The Student Organization has and maintains a Budgetary Allocation of Fund for
the activities for the whole academic year.
All invoices, receipts or any proof for cash disbursement must be kept for control
purposes.
Out of Pocket Expenses (OPEs):
OPEs that are subject to reimbursement are only expenses made on behalf
of the organization.
CASH ADVANCE
A. Application for Cash Advance
1. Cash advances shall take place only through the College Finance Department for the
request of budget.
2. Duly accomplished and approved cash advance shall be received by the College
Finance Department at least one week before the designated use of fund.
3. Procedures for obtaining cash advance:
Complete the Cash Advance Request Form.
Cash advance requests must be fully approved by the Vice President for
Finance/Treasurer and Adviser/Program Head/College Dean.
Provide a receiving copy that will serve as the own records of the organization.
Proceed to College Finance Department for the approval and receiving of the
request.
4. An Organization is allowed to make a cash advance upon fulfilling and submitting a
liquidation in good form of the previous cash advance. Any pending liquidation
reports to the College Finance Department are strictly prohibited.
5. Sample of Cash Advance Form, refer to Appendix 1.
LIQUIDATION
The student organization shall prepare a liquidation report for the amount
representing the budget requested from the College Finance Department and also the
collection being collected solely by the student organization. It shall be properly
LIQUIDATED within 14 days from the completion of the activity and other related events.
But may allow for a certain valid reason provided however, proper negotiation have been made through the College Finance
Department with the knowledge of the adviser and Program Head/College Dean.
S TU DEN T ORGANIZA TI ON FUNDS MANA GEMEN T V. 1213 |5
Liquidations must be fully prepared by the Vice President for Finance/Treasurer, reviewed
and audited by the Vice-President for Audit/Auditor and approved by the Adviser/Program
Head/College Dean.
Accomplished Liquidation Reports should be posted to the respective Bulletin
Boards after furnishing all the necessary receipts and documents. Provided, that the student
organization must post its liquidation reports within 2 weeks after the day prior to an
event/activity.
A. Liquidation of Cash Advance
1. Complete the Liquidation Form. (the Reference no. to be used will be based to the
Cash advance being liquidated)
2. List down all the expenses made with or without receipts appropriately.
3. Attached the receipts and any other supporting documents.
4. If expenses exceed the amount of the cash advance, a payment will be
generated to reimburse the officer.
5. If expenses is less than the amount of the cash advance, return any remaining
funds to the College Finance Department.
6. No carrying or bringing of former balances (due to /from) to the next liquidation
Report. Note: The amount that will appear in a liquidation report should be the
same to the amount of cash advance being liquidated. Therefore, two cash
advance in one liquidation report or vice versa is strictly prohibited.
7. Liquidation Report shall be submitted to the College Finance Department at all
times.
8. Sample of Liquidation Form, refer to Appendix 2.
B. Liquidation Report for funds solely collected by the Student Organization
1. The liquidation report form intended for funds solely collected by the Student
Organization will be provided by the Office of Student Affairs through Supreme
Student Council.
2. It shall be accomplished with the correct declaration of all collection made. List
down all the type and its corresponding amount if various types of collection had
been made (E.g. Income from Film viewing, Income from Photo booth, Income from
raffle tickets and the like). Non-declaration or understatement of Income being
collected is strictly prohibited and has an equivalent sanction.
2. List down all the expenses made with or without receipts appropriately.
3. Attached the receipts and any other source documents.
4. Sample of Liquidation Report, refer to Appendix 3.
C. Combined Liquidation Report
1. This liquidation report shall be prepared if the council has been requested for a
cash advance from the College Finance Department and also has the collection
made by them in connection with the activity.
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2. The liquidation report template will be provided by the Office of Student Affairs
through Supreme Student Council. (An excel format is prepared for the
convenience of the college student council treasurers/vice-governors for Finance.)
3. It shall be accomplished with the correct declaration of all collection made and the
amount of cash advance/s. List down all the type and its corresponding amount if
various types of collection had been made (E.g. Income from Film viewing, Income
from Photo booth, Income from raffle tickets and the like). Non-declaration or
understatement of Income being collected is strictly prohibited and has an
equivalent sanction.
4. List down all the expenses made with or without receipts appropriately.
5. Attached the receipts and any other source documents.
5. Sample of Liquidation Report, refer to Appendix 3.
PREPARATION OF FINANCIAL STATEMENTS
The objective of financial statements is to provide information about the financial
position (balance sheet), financial performance (income statement) and changes in fund
balances for the organization to become transparent and liquid regarding to their funds and to
give the members of the knowledge about the inflows and outflows of fees they paying for.
A. Rules and Regulations
All the SPS accredited college organization shall prepare and submit its audited
financial statements to the College Finance Department at the end of each academic
year. It is a mandatory requirement before granting the request for new budget/fund of
the next federation or set of officers for their activities.
B. Composition
The financial statements shall compose of the following:





Statement of Financial Position
Statement of Receipts and Disbursements
Statement of Changes in Fund Balances
Statement of Cash Flows (optional)
Notes to Financial Statements (if necessary)
It should be dated at the end of Academic Year as of April 1, 20xx. If there are
still pending activities to be made upon that should be included in the financial
state e ts, ear e d’s adjust e t shall de ade. In some point, the Student
organization is allowed to prepare an interim financial report or the Semestral financial
report if necessary.
Immediate request of funds for a certain valid reason is allowed provided however, proper negotiation have been made
through the College Finance Department with the knowledge of the adviser and Program Head/College Dean.
S TU DEN T ORGANIZA TI ON FUNDS MANA GEMEN T V. 1213 |7
C. Duties and Responsibilities
 Vice-President for Finance/Treasurer shall prepare all the related documents
involving funds including the preparation of financial statements every semester
or academic year.
 Vice-President for Audit/Auditor shall perform current transaction audit and post
transaction audit. Post transaction documents refer to the financial statements
being prepared by the Vice-President for Finance/Treasurer while current
transaction documents refer to every activity program to prevent serious
problem that may arise in the future or upon post transaction audit.
 League of Junior Accountants shall guide and supervise the Vice-President for
Finance/Treasurer of an Organization in preparing financial statements and
other related documents. This League shall compose of Fourth Year Accountancy
students in DYCI.
 Junior Auditors’ Group shall serve as external auditor that will audit all the
accredited student organization after each academic year. This Group shall
compose of Fourth Year Accountancy students in DYCI provided however, they
are not part/member of the League of Junior Accountants and duly authorized
by the Dean of the College of Business and Accountancy.
ENFORCEMENT OF THE IMPLEMENTING RULES AND REGULATIONS
A. It shall be the primary duty of the Vice President for Finance/Treasurer and the
Council to effectively enforce the provisions of this Implementing Rules and Regulations.
The Junior Philippine Institute of Accountants – DYCI Chapter Council and Supreme
Student Council also has the right to interpret the contents of this Implementing Rules &
Regulations and their decision will be binding and irrevocable.
B. The SPS Director and JPIA Adviser/College of Accountancy Dean or his duly
designated representative shall act as legal adviser to the 2 Councils and shall
render legal assistance as may be necessary in carrying out the provisions of this
Implementing Rules and Regulations.
AMENDMENTS OR REVISIONS
A. The College Finance Department and Supreme Student Council shall be vested with the
power to revise and amend the Implementing Rules and Regulations.
B. Any amendments to or revisions to this Implementing Rules and Regulations may be
proposed by any member of any SPS accredited student organization upon a written
request of such member, stating the reasons thereto.
S TU DEN T ORGANIZA TI ON FUNDS MANA GEMEN T V. 1213 |8
C. Any request for amendments and revisions as well as proposed amendments must
initially be reviewed by the Junior Philippine Institute of Accountants Officers then to be
forwarded to the Supreme Student Council for discussion, editing and final approval and
to be noted by the College of Accountancy Dean, Finance Director thru Assistant Finance
Director and Chief Financial Officer.
D. Amendments to particular provisions in this Implementing Rules and Regulations
shall be allowed provided that such amendments will be communicated to members at
least two weeks before it could take effect.
SEPARABILITY CLAUSE
If any clause, provision, paragraph or part of this Implementing Rules and
Regulations shall be declared unconstitutional or invalid, such judgment shall not affect,
invalidate, or impair any other part hereof, but shall be merely confined to the clause,
provision, paragraph or part directly involved in the controversy in which such judgment has
been rendered.
REPEALING CLAUSE
Any rule and regulation or resolution or part/s thereof inconsistent with the provisions
of this Implementing Rules and Regulations are hereby repealed or modified accordingly.
EFFECTIVITY
This Implementing Rules and Regulations shall take effect immediately after its presentation
and approval from the Assembly. Promulgated in Dr. Ya ga’s Colleges, I . this 24th of
November 2012.
S TU DEN T ORGANIZA TI ON FUNDS MANA GEMEN T V. 1213 |9
Prepared by:
Leemon L. Araza
College Staff, COA (Author)
Gynie M. Villanueva
Treasurer, SSC (Co-Author)
Reviewed by:
Mark Anthony Buenaventura
President, SSC
Fernan Aldrey Isip
Governor, COA
Noted by:
Reymond R. Galvez
Coordinator, OSA (Co-Author)
Prof. Evangeline A. Balboa
Dean, College of Business and Accountancy
Prof. Eufrocinia S. Dela Cruz
Director, SPS
Recommending Approval:
Ms. Lea Ratay
Assistant Finance Director
Ms. Melencia Policarpio
CME Bookkeeper
Prof. Guillermo De Leon
Chief Financial Officer
Approved by:
Marie Y.B. Reyes
Finance Director
Prof. Michael S. Yanga
Vice President for Academics and Operations
S T U D E N T O R G A N I Z A T I O N F U N D S M A N A G E M E N T V . 1 2 1 3 | 10
TABLE OF CONTENTS
Background
1
Objectives
1
Definition of Terms
1
Budget Proposal
2
Cash Receipts/Collection
2
A. Procedures in requesting collection through College/CME Cashier
2
B. Student Council Fee and Organizational Membership Fee
3
C. Sponsorship
3
D. Other Collection
3
Cash Disbursement
4
Cash Advance
4
Liquidation
4
A. Liquidation of cash Advance
5
B. Liquidation Report
5
C. Combined Liquidation Report
5
Preparation of Financial Statements
6
A. Rules and Regulations
6
B. Composition
6
C. Duties and Responsibilities
7
Enforcement of the implementing rules and regulations
7
Amendments or revisions
7
Separability Clause
8
Repealing Clause
8
Effectivity
8
Appendix 1 (Cash Advance Form)
10
Appendix 2 (Liquidation Form)
11
Appendix 3 (Liquidation Report)
13