Any Tractor Club Treasurers on here?

jCarroll · Dec 13, 2017

Situation with our Club:
Our Treasurer has been treasurer for yearssssssss,
Maybe in the distant past a President was also signatory on the Club's checking account,
but now I'm pretty sure the Treasurer is the only signatory on the account.
We elect a'new VP every year, and the past VP steps into the President's shoes.

Seems an unnecessary "risk" to go on with just one old guy on the account.

How do others handle this? Got any suggestions?

craigco · Dec 13, 2017

At every meeting there is the treasurer report.printed copy of all transactions made. Also the president and vp are added to signature list at the bank when ever there is an officer change.

deeretails · Dec 13, 2017

All our club's checks require two signatures-

Welding man · Dec 13, 2017

Our club has had the same officers for several years, I am VP. Our treasurer is a local businessman. Our club voted a long time ago to let the elected officers take care of the day to day business as they saw fit, unless a major decision needed to be made and then a special meeting would be called. We do not require two signatures because of convenience. His business is 2 blocks from the bank and across the street from the post office. He makes the deposits and pays the bills. He rarely writes a check without calling me and letting me know what it's for and how much. It's all about trust.

Meangreen · Dec 13, 2017

I was treasurer of our club for several years. Our club was setup so each check requires 2 signatures and the Pres, Vice Pres, Treas & trustee board (previous 3 presidents) all were on the account to sign checks. Even though I had authority to sign I usually never did.

BarnyardEngineering · Dec 13, 2017

After I'd been president for a couple of years, come to find out, none of the current officers were signatories on the club checking account. Not even the current treasurer! Yet the bank happily cashed our club checks with no issues for years...

BarnyardEngineering · Dec 13, 2017

As for what to do about it, if you're an officer of the club you can bring the subject up with the other officers. I'm not sure I'd make it my business as a regular member, though. If you have that much concern about the finances of the club, you really should volunteer yourself as an officer. Otherwise if things go tango-uniform because the treasurer keels over or decides to skate off to a Caribbean island with the club funds, and the club has to fold, all you're really out is your dues.

Butch(OH) · Dec 13, 2017

Seems like once a month I read in our paper about stolen funds by a local government official or some club or organization treasurer. A good rule to have is four eyes on all cash at all times and same for all transactions.
Even if the treasurer is the most honest guy on planet earth having another set of eyes on transactions assures that he cannot be accused of theft or mishandling funds by some disgrunted member. He should welcome it.

1948CaseVAI · Dec 13, 2017

(quoted from post at 09:16:10 12/13/17) After I'd been president for a couple of years, come to find out, none of the current officers were signatories on the club checking account. Not even the current treasurer! Yet the bank happily cashed our club checks with no issues for years...

Around Wichita the bank will not even look at the check signature unless the check is at least $1,000 or so. There are too many checks and it would cost too much to look at them all, so they just pay them. It is cheaper to take the occasional loss for the bank than to hire enough folks to look at all signatures.

coshoo · Dec 13, 2017

The big problem with two signatures is inconvenience. In an office, the second signature is just down the hall, but in a club with everybody working from home, the second signature is miles away. If someone else is looking at the bank statement every month, I'd think the risk is minimal, especially if you've got an honest guy as treasurer. Your bookkeeping system is probably not complex enough for some chiseler to pull a fast one outside the checking account.

Mike M · Dec 13, 2017

I don't know how it's done. But as I read this I am thinking that you might be concerned ( and rightly so ) about just one person because if they kick the bucket no one will be able to access the money.
Sit down with your bankers and ask about this is all I can suggest.

Doug-Iowa · Dec 13, 2017

Kind of depends on how you are organized and how much $$ you handle. One local club I know could lose it all and not be out 500 bucks. At that point I wouldn't worry about it. The organization I'm an officer on routinely deals in 5 figures, so at that level it is more important to have controls in place. And we are a 501(c)(3) so our biannual state report needs to reflect accepted accounting practices which includes two signatures.

When we grew to that point some worried the existing long time treasurer would be offended to have his honesty questioned by changing to two signatures. There was absolutely no doubt he was 100% accurate, I'd trust him with my billfold. But I met with him privately and simply said this change is as much for your protection as the club's. Who's to say some hacker doesn't get into the account and take money, if you're the only one on it you stand your defense alone. If we have the board on the account, we all stand together. He'd never thought of it that way and welcomed the change.

Traditional Farmer · Dec 13, 2017

A CPA needs to look over the books at least once a year.

db4600 · Dec 13, 2017

I've been involved with clubs for 30 years and have seen 2 treasures get axed. In both cases the funds were replaced and the parties expelled. Recently I've seen 2 incidents where people I know have been caught pilfering funds from high school clubs and small town chapters. In both cases the monetary amount was considerable. In both cases the people did not seem to show remorse. If it was me with my face in the paper I think I would crawl in a hole and hide.

The tough one is when club members take donations. We experienced a case where donations were reported to be given by the business, but could not be tracked back to the treasury. It came down to a case of she said/ he said that couldn't be proven either way and created rift in the club and community. Granted most donations are small compared to a club treasury, but a spade is a spade.

During an event or show there are thousands of dollars changing hands at stands, gates, and booths. And we all know that getting volunteers is tough let alone getting all trustworthy volunteers. Whatever the case may be just be aware of a trend or something that looks amiss.

DeltaRed · Dec 13, 2017

In our club(I am a past president) both treasurer and president have signature authority. The checkbook is held by the president.The books are audited yearly by a third disinterested party.There has NEVER been an issue or discrepancy!The books are laid out at each meeting for inspection by any member who wishes to..However,most officers serve multiple one year terms(I served 3 one year terms). We like to say it's a 'life sentence'!LOL

INCase · Dec 13, 2017

i've been president of a couple clubs. We've always had the president and treasurer on the account but only 1 signature needed mostly due to convince. but had 2 people on the account for 1, a 2nd set of eyes has access to see what's going on, and 2, in case something happened to the other and 3, occationally needed for convenience if the treasurer was unavailable

Look at your state laws for 'non-profits" and see if there are any rules/laws that might require 2 signatures as somemone mentioned below. that way you can bring it up without looking like you don't trust someone.

our local banks are pretty fussy about who is on the account to the point of having to have official meeting minutes outlining when said person was voted into the office and a copy of our by-laws.

if your treasurer is of poor health you should definitely at least get a second name (officer only) on the account in case something might happen the club can still function in the short term.

DoubleO7 · Dec 13, 2017

Having only one signature required is okay if you trust that person.
Having two is more common because two people have to be "in on it" if a ripoff is happening.

However, the checking or any other bank account needs to have at least two people on the account.
[b:3f0939fbbc][u:3f0939fbbc]This holds true for your personal accounts as well.[/u:3f0939fbbc][/b:3f0939fbbc]
If only one and that person dies or leaves town, has a stroke, etc. the accounts are frozen until legalities are sorted out.
And likely the lawyer fees to untangle the mess will deplete what funds were in the accounts.

3020G · Dec 13, 2017

I'm not an officer or director of our club but I do attend most meetings. Our treasurer gives us a print out (enough copies for everyone in attendance) of cash inflows and outflows for the month, the year, and the bank account balance. This way it's transparent and everyone can see what's going on at every meeting. We have monthly meetings. Very rarely has anyone seen any issues with our books.

I remember one time somebody calling out a misspelling of a vendor....

Naylorbros · Dec 13, 2017

I am not a tractor club treasurer but one for the local county Farm Bureau. By our bylaws we are authorized to have up to three names on the bank account, the president, vice president and the treasurer. Our bylaws also require two signatures per check. I wish that would change to that one signature is good for check of say $500 and down and two signatures for $501 and up. It would make my life a lot easier where we only meet once a month. But what most people need to remember is that if they read the account holder agreement the bank will cash any check presented even if it only has one signature and two are required by the clubs internal controls.
Ken

tomturkey · Dec 13, 2017

A trustworthy treasurer is a treasure. Its an arduous job that takes up an individuals "personal" time. So if you have someone willing to do it make sure and thank them. They don't just get to attend meetings, they must work to prepare for the meeting, be ready with explanations of who what where and why, possibly printing out spreadsheets of the months transactions and year end reports. Of course oversight is always good for the club and individual. The bank had a card on file of who could sign checks for a club I belong to. The problem is the card held the names of the last 3 or four treasurers and presidents. It was never a problem, but Make sure the bank also updates with each change in leadership. And again thank the treasurer the busiest bee in the club. jmho gobble

Ted in NE-OH · Dec 13, 2017

I am a VP of an Antique Engine Club. , we have a number of people who can sign checks, and if the check is over $300 it requires TWO signatures. We also do a yearly audit as a previous treasurer embezzled $60,000+ over a few years, she was sentenced to two years in prison. We learned the hardway.

JOCCO · Dec 13, 2017

Others have covered it but have two people on the account incase one gets incapacitated. You can still operate. Depending on size and dollar amount it may be best to have two signature on checks over so much and petty checks (like $18 one will work) At least once a year have a cpa do the books unless it is a small outfit small dollars then do it with the board in house.

accumulator · Dec 13, 2017

I am a treasurer. Secretary and vp have access to the account if I die.

504 · Dec 13, 2017

I am on the cemetery board here here(total non government deal in Missouri) My Mother in law was the treasure. Everything was fine till she lost her mind. It took a couple of weeks to get a good day so we could get the check book, now we have two signatures on the account. It does not need to be a theft to really screw thing up.

old bc · Dec 14, 2017

Not a club but my high school class has a local bank account.
We always have 3 members who have access to the account
although I write all the checks. I give each class member a complete
printout of the bank activities when we have a reunion.

Any Tractor Club Treasurers on here?

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