Committee Business Matters
Why does financial management matter?
As a management committee it is important to remember that everyone on the committee is responsible and accountable for the management of the setting. This includes the management of finances. It may be beneficial to view financial management as a cycle of inter-related activities and ensuring good governance and leadership is integral to this process.
Consideration must be given to preparing a forecast of probable income and expenditure for the coming year
Early Years will enable your group to work out how much the service will cost to run, to decide what fees to charge per week and help you prepare and plan a cashflow forecast.
Refer to Early Years Accounts Book
and Committee Management Manual
The Early Years Accounts Book
is a useful tool for settings to have as it provides templates and informs you how to identify where the income is coming from within your setting, how to deal with income and the responsibility for the finance as well as providing good practice guidelines for the group when organising the finances of the setting.
Safeguarding is the prevention of Fraud.
Management Committee's have a responsibility to ensure that the resources of the early years group are safeguarded. The Committee Management Manual
provides good practice guidelines to safeguard the setting, help with your control system against fraud and advice on what action to take if fraud occurs.
Committee Responsibilities include:
Actions to take if fraud occurs include:
If you have any further queries on safeguarding your setting please contact your community development advisor.
To assist management committees Early Years has negotiated the early Years Insurance Scheme, arranged by Lockton Company international. This policy offers an extensive range of cover at competitive rates for Early years members.
Please Note: Insurance certificates and accident records should be kept for a minimum of 40 years.
Business plans are an excellent decision-making tool for management committees to use as a basis for developing all aspects of their business. A business plan can be used to map out ideas.
Early Years will provide you with the information your Management Committee requires to create your settings business plan. It will explain what a business plan is, what it is used for and how to evolve your plan overtime.
The financial manual is the document which brings together all the financial policies and procedures set down by an organisation to guide the handling, use, recording and review of financial transactions and avoid misunderstandings.
This is a time consuming process similar to drawing up policies & procedures for a setting and it is probably best to do this work in a sub-committee and share the work load among committee members with relevant skills and knowledge.
Early Years Committee Management Manual
will assist you in explaining what information should form your financial manual.
If you are an Early Years member you have the opportunity to avail of our Payroll service whereby your group's payroll processing, Inland Revenue returns, information for funders and other general payroll queries can be managed by a member of Early Years staff on your behalf (Northern Ireland only).
Please Contact Colm McCaughley, Finance Officer
by emailing email@example.com or visit the Early Years Salary Service
web section. For additional reading please visit HM Revenue and Customs Advice Team website. To ensure that correct procedures are followed Early Years recommends that treasurers on the committee avail of the free training and advice sessions from HRMC.
Early Years Members Group Personal Pension SchemeMuldoon McAllister who run the existing staff pension scheme have, in conjunction with Early Years, launched a new pension scheme for members. This will be known as the 'Early Years Members Group Personal Pension Scheme.' The service from Muldoon McAllister will be branded under the name 'Verity Pensions.' Verity will operate as a specialist pension service to employers to ensure that they meet their pension reform obligations.
A number of groups have already availed of the scheme and have entered their staff into the pension. From a practical point of view, Joe McAllister and John Joe Muldoon can discuss face to face with group leaders, committees and staff the costs and administration of the scheme. In addition they and their staff will be available to carefully guide each group through the steps necessary for the introduction of the pension. Ongoing support and advice is available as and when it is needed.
If you would like to discuss how pension reform legislation will affect your group or setting, please contact Joe or John Joe directly on 028 796 32000 (office).