Get Budget/Finance Committee Report December 6, 2010 The Budget ... - Myclay

What are the responsibilities of a finance committee? Approving the annual budget. Monitoring monthly financial statements. Overseeing financial reporting, including the annual IRS Form 990 and all required tax filings. Ensuring the organization has the cash reserves and investments necessary for long-term success.

Taking a closer look at the duties of each committee quickly reveals the reasons why the separation is important, even for small nonprofits. In general, the finance committee monitors financial practices of the nonprofit while the audit committee monitors the process in which the financial practices are carried out.

The Finance Committee provides financial analysis, advice, and oversight of the organizations budget. Their sole responsibility is to ensure the organization is operating with the financial resources it needs to provide programs and services to the community.

What we do: Help the church implent & prioritize current program/ministries. Encourage a good account of funds. Authorize church leadership to act within guidelines. Give guidance in distributing available funds. Make recommendation reguarding finiancial policies and expenditures. Work closely with the church Treasurer.

The finance committee establishes and confirms compliance with fiscal and related policies and procedures. Approved policies should reflect your organization's specific circumstances, such as size and life-cycle stage, rather than just general “best practices.” The committee should take care, though, not to overstep.