Where to go for more information:

The Financial Manual - page 1-3

Things to be aware of:

  • Information about NSF cheques is confidential and should be on a need to know basis only - Commissioner and Guider who is responsible for the books.
  • Discussion about funding for a child is confidential and should not go any further than the parent and the Guider who discussed it with the parent.
  • Try to avoid NSF cheques by discussing the costs openly with the parents, tell them how much the events and camps will cost and let them know that funding can be arranged if necessary by simply discussing the situation with one Guider
  • Do not make a decision about whether or not a parent is in financial difficulty on your own - talk to your Commissioner to see how each situation can be handled.
  • If you suspect a parent is struggling financially but wants her daughter involved fully find out about funding in your area for registration, camps, and activities and give the information to the parent.
  • A Unit can fund a child when necessary but not to the detriment of the whole Unit or by charging other parents excessively.
  • Payment for larger amounts can be paid over time until the full amount is paid.
  • Fund raising (especially cookies) should be done and the money used to offset the costs for events, camps and membership fees.
  • If you have a concern in your neighborhood with parents being able to afford the camps and events look for creative ways to have fun without a great deal of cost.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Financial Training

    NSF Cheques

  • When a NSF cheque does occur you are to approach the person who issued the cheque and request that they repay the Unit for the face value of the cheque and for the service charges incurred.
  • Usually they will do so; but there will be occasions when the person cannot repay the full amount and your books must show what was the final outcome.
  • You should do everything within reason to have them pay back at least the bank service charges but you must look at all extenuating circumstances and handle each situation accordingly.
  • If you are unable to resolve the situation on your own, contact your Commissioner for guidance and support.

Possible scenarios:

NSF was an error and the full amount and bank charges are being reimbursed

For this example we will assume the cheque was issued for camp fees:

  1. Show the original deposit in the bank deposit column and the revenue camp category column.Reverse out the deposit and the bank charges from the deposit column and the revenue camp category column.
  2. When the cheque is re-deposited enter in deposits column and the bank column

The end result is that the totals show a balance of 25.00 for camp fee and nothing for bank charges. The bank charges were not incurred by the Unit but by the person writing the NSF cheque and this will indicate a true picture of the Unit's expenses and revenues.

If the cheque was not reimbursed the book entries would be:

If the parents are in financial difficulty there is the possiblity that they cannot reimburse the full amount - but be careful. Make sure that the hardship is legitimate, do not accept future cheques, and work with the parents to find a way for them to return the money over time. If you are uncertain about the circumstances involve your Commissioner before making any decisions. Discuss the funding programs that are available in your area to assist girls to remain in Guiding with the parents.

  1. Record the original cheque into the bank deposit column and the revenue camp category column.
  2. Reverse out the deposit and the bank charges from the revenue column and the revenue camp category column.
  3. As payments are made over time (if necessary) record them in the deposit column and the revenue camp column

This will show a balance of $(25.00) for the camp revenue category column which includes the $25.00 for bank charges. This is correct – since the cheque was returned you do not have a deposit for the amount and since you did not have the parent repay the bank charges you have incurred an expense of $25.00 under camp revenue. This will also show a true picture of the Unit's expenditures and revenues.

If the parent reimbursed the Unit for the bank charges but not the original expense the entries would be:

  1. Record the original cheque into the bank deposit column and the revenue camp category column.
  2. Reverse out the deposit and the bank charges from the revenue column and the revenue camp category column.
  3. When the bank charges are deposited reverse out the charges from the revenue column and from the camp expense category column.
  4. As payments are made over time record them in the bank deposit and camp revenue columns


This will show a balance of $0 for the category column. Since the cheque was returned you do not have a deposit for the amount and since you had the parent repay the bank charges you do not have a Unit expense for bank charges. This will also show a true picture of the Unit's expenditures and revenues.