|College||Melbourne School of Theology|
|Board||The Board of Directors for Melbourne School of Theology|
|Eastern||Eastern College Australia|
The Melbourne School of Theology Financial Policy and Procedure Manual provides the policies and procedures for finance transactions within the business which must be followed by all staff. It also provides guidelines the College will use to administer these policies, with the correct procedure to follow.
All finance transactions as noted in this policy are to be authorised by the noted authorised person prior to the transaction being undertaken.
This policy is to be read in conjunction with other specific finance policies where relevant.
This Policy applies to the College Board of Directors, all staff, volunteers, contractors, consultants, and members of the College community. It also applies to any person or organisation that has an association with Melbourne School of Theology who reports serious wrongdoing within or by Melbourne School of Theology.
|Bank Accounts||Senior Accountant & General Manager (Operations)|
|Issuing Petty Cash||Reception|
|Business Credit Card||General Manager (Operations)|
|Authorising New Suppliers||Senior Accountant/ General Manager (Operations)|
|Purchasing Assets/ Equipment||General Manager (Operations)|
|Debt Collection||Head of Finance Department/ Senior Accountant|
|Payment of Invoices||Senior Accountant/ Authorised off by General Manager (Operations)|
Bank Account Policy
Opening Bank Accounts
- Any new bank accounts to be opened for general college business must have the written approval of Finance committee of the governing Board.
- Any new bank accounts to be opened for staff ministry Fringe Benefit payments must have the approval of the General Manager (Operations)
- For each new general college bank account opened, the financial system must be updated, and the bank account registered by the Senior Accountant.
Changing Bank Account Authorising Users
- When new authorising users of general college bank accounts are to be added, written approval of the Finance sub-committee of the Governing Board is required.
- If an existing authorising user leaves the organisation, or they are no longer required to be an authorising user, approval of the General Manager (Operations) is required to remove them from the banking system.
Bank Account Authorisations
- General Manager (Operations)
- Senior Accountant
- Executive Principal
Variations to Bank Account Terms and Conditions
Closing Bank Accounts
- ensure all transactions with respect to the account (including cheques drawn) have been completed;
- for general college accounts lodge with the bank a letter, signed by the General Manager (Operations), advising of the closure of the account;
- meet the bank's requirements with respect to account closure; and
- update the financial system and bank account register.
Bank Account Transactions
- All deposits received must be stored in the locked safe until banked. Where possible all deposits must be banked within seven days of receipt.
- Unallocated direct deposits of more than one month will be investigated fully to determine source of deposit. Where the source cannot be identified, the deposit will be allocated to the Suspense Account.
- Cheques outstanding for more than twelve months will be reallocated back to the business through the financial system.
- Where a payment stop on a cheque is required, this will be authorised by the Finance Manager.
- The Senior Accountant will be responsible for carrying out the following duties in regards to a payment stop on a cheque:
- ensuring the cheque has not already been presented at the bank;
- getting authorisation to action the stop payment using appropriate forms from the bank;
- ensuring the bank receives notification of the stop payment notice;
- receiving confirmation of action from the bank of the stop payment.
Petty Cash Policy
Issuing Petty Cash
- Petty cash vouchers must be completed before any cash is taken from the petty cash float.
- Only up to $100 can be disbursed at any one time.
- All petty cash vouchers issued must be approved by Finance Department.
- Once the petty cash is spent, a receipt or invoice should be attached to the voucher and returned to petty cash with any balance of monies unspent.
- All completed vouchers must have the following details included:
- Issue date of voucher;
- Name of person issued the voucher;
- Amount of monies disbursed;
- Details of expense;
- Invoice or receipt.
Reconciling Petty Cash
- Petty cash float is to be reconciled monthly. This is the responsibility of the Receptionist.
- All petty cash expenditure must be entered into the financial system once the petty cash has been reconciled.
- The balance of monies and vouchers must equal the petty cash float amount before reimbursement can be made.
Use of Business Credit Card Policy
- An employee will only be issued a credit card once authorized by the Finance committee of the governing Board.
- The business credit card can only be used for budgeted expenses.
- No cash advances are to be taken using the business credit card.
- Where a business credit card is lost or stolen, then the owner of this card is to notify the Senior Accountant who is responsible for notifying the issuing agency and ensuring the card is cancelled.
- The use of the business credit card is not to be used for personal expenses.
- All holders of business credit cards are required to provide the relevant receipts so that the Senior Accountant can reconcile the monthly credit card statement to the expense form.
- All business credit cards are to be returned to the college when the person is requested to by the General Manager (Operations) or the Senior Accountant or where they are no longer an employee of the college.
- The Senior Accountant is responsible for closing down any returned credit cards with the appropriate banking institution.
New Supplier Policy
Choosing a New Supplier
- A new supplier must provide our business with the ability to meet the current needs of our organization.
- For each new supplier the following information table must be completed prior to agreeing services.
Supplier Selection Background Information
- Business Name of Supplier
- Location of Supplier
- Products/Services provided by supplier
- (Attach a list if necessary)
Supplier Selection Review Checklist
- Is the supplier pricing competitive?
- What are the payment terms for this supplier?
- What is the return policy for this supplier?
- Does the supplier provide warranties, guarantees etc.?
- Are the suppliers representatives knowledgeable of the products/ services and industry?
- Is there an alternative to this supplier, has the alternative supplier been considered?
- What are the delivery services of the supplier?
Appointment of Supplier
- The appointment of a new supplier will be authorised by the Senior Accountant.
- All relevant details of the supplier will be entered into the financial system by the Senior Accountant once approval is obtained from the General Manager (Operations).
- The General Manager (Operations) will review information entered into the financial system and independently verify the bank account or other payment details of the supplier to ensure payments made are to the correct supplier.
Supplier Payment Terms
- Payment terms for all suppliers must be reviewed by the Senior Accountant annually.
- All supplier payment terms must be a minimum of 14 days.
Request for Purchase
- Purchasing that promotes environmental sustainability;
- Value for money; and
- Preference to Australian/locally produced.
Equipment Asset Purchases
- Date of purchase;
- Supplier; and
- Make, model, warranty/guarantee information.
Student Debt Collection Policy
- Safeguard against reprisal, harassment and victimisation
- Untrue and Malicious/Vexatious Allegations
- Student Safety