The expectations and underrated role of a board treasurer for a nonprofit organization vary widely. The treasurer of a nonprofit is usually appointed by the members of that organization’s board, and the position requires financial expertise as well as dedication, time and patience.
The duties of the treasurer are normally outlined in the bylaws. The treasurer ensures the other board members are updated on important financial issues.
Responsibilities often include the following:
- Advise the organization on the fundraising strategy
- Attend all board meeting
- Create a simple budget, keep a general ledger, make bank deposits and potentially write or sign checks
- Present the annual budget to the board for approval
- Maintain knowledge of the organization and personal commitment to the goals and objectives
- Supervise contractors hired by the board, such as a bookkeeper, tax preparer, investment professional, or fundraiser, if the nonprofit does not have full-time staff
- Understand financial accounting for nonprofit organizations Serve as the chair of the finance committee
- Manage, with the finance committee, the board’s review and action related to the board’s financial responsibilities
- Work with the executive director and accounting personnel to ensure that appropriate financial reports are made available to the board on a timely basis
- Review the annual audit and Form 990 and answer board members’ questions
- Assist with cash flow projections to ensure the nonprofit maintains liquidity and solvency
- Establish and maintain the nonprofit’s system of internal controls, including accounting processes and procedures, to mitigate fraud risks
- Ensure timely filing of all required federal and state tax filings
- Safeguard and protect the nonprofit’s assets.
In conclusion, a nonprofit needs a board treasurer who is willing and able to provide leadership in the financial life of the organization. A great treasurer balances knowledge, communications, planning and strategy!
Please contact the Not-for-Profit Niche team at Gilliam Bell Moser LLP for further guidance.
Leave A Comment