Safety Newsletter: Fall 2008-Winter 2009
For this season’s newsletter, we believe it is important to remind everyone of established and recommended procedures for handling money at parishes, schools and all Diocesan locations. You may also have received more detailed information on this subject through the Diocese Finance Department or the Diocese School office.
DIOCESE OF SYRACUSE
Procedures for Collection Counting and Handling Money
The following outline covers required and recommended procedures for the handling of money, including collection counting and recording, handling of checks and cash, bank deposits, and other procedures that provide checks and balances to money handling processes. These procedures are in accordance with Generally Accepted Accounting Practices (GAAP) for handling money. This list, of course does not cover all situations. If you have any questions or need any additional information or direction, please contact the Risk Management office. Both the Risk Management and Finance offices are available to provide you with additional direction if needed. Donations are freely given and our parishioners’ generosity should not be taken lightly. Every effort must be made to protect these gifts. Volunteers and staff are precious to the Church and they should not be put at risk by allowing unsafe or otherwise unacceptable money handling methods.
Collections must be locked in a safe (in tamper evident bags) as soon as they are taken from the altar. Access to the safe must be limited to as few persons as is practical. If collections must be moved from the Church to another building and/or to the safe, at least two persons should transport the money. Having only one person carrying the collections places both the individual and the money at risk.
Collections must remain locked in the safe until at least two counters arrive. Proceeds should be counted as soon as possible following the collection. Counting of collections must be done by a minimum of two persons. They can be volunteers or paid staff, but must be independent of the record keeping process (ie. not the bookkeeper). Counters must prepare a tally sheet that summarizes the collections so that the revenues may be properly recorded on the parish books.
Cash must never be removed from the collections. All collections must be deposited “intact” at the bank. Checks must not be cashed from the collections. It is forbidden to make disbursements directly from the collections.
All checks must be restrictively endorsed “For Deposit Only” as soon as practical after they are received.
Deposits into the bank must be made immediately after the collections are counted. However, if counting is performed on a subsequent day then the collection must be deposited at the bank using the night deposit by two or more persons. Similarly, two or more persons must retrieve the deposit for counting.
Arrangements should be made with the bank to notify the bookkeeper (or other responsible person) of any variances of $5.00 or more in the deposit. Every effort should be made to determine the reason for the variance.
All persons who handle money should be checked carefully in advance for any factor or circumstance that might make collection funds a source of temptation. If ALL handlers are checked as a matter of policy, it will not present an issue to check each one.
Rotate all money handlers regularly. Consider having two teams for all money counting activities. Insist that all money handlers take time off. Note if there is any change in collections during such an absence.
Encourage maximum use of the envelope system. Money donated in envelopes tends to reduce theft at all points. Check to make sure the amounts indicated on the envelope match the amounts posted as donated. Check envelope records for any unusual patterns of missing envelopes.
These same procedures may easily be applied to any money collection activity including bingo, church fundraisers, sporting events or festivals. Please follow these procedures at all times so that we can continue to keep our parishes, schools and other Diocesan locations safe from any risk of loss or injury.