UW AUTHORIZED CHECKING ACCOUNTS
Separation of Duties
1. Is the person preparing reimbursement requests and reconciliations someone other than the person who signs the checks?
Ideal Answer: YES. There should be proper separation of duties between the authorized signer(s) and the individual responsible for maintaining the accounting records. The checkbook register should be reconciled to the monthly bank statements to ensure reimbursements and expenses have been posted correctly. To ensure that differences are discovered, someone who does not have signatory authority should maintain the accounting records.
Documentation
2. Are two signatures required on all checks?
Ideal Answer: YES. UW-Foundation requires two authorized signatures on all checks for approval purposes.
3. Are all bank service charges reimbursed?
Ideal Answer: YES. All UW-Foundation Imprest Checking accounts are reimbursed for any bank service charges incurred.
4. Are formal requests made to the UW Foundation for Individual expenditures in excess of $100?
Ideal Answer: YES. Any single payment is not to exceed $100. Should a payment go over the $100 limit (shipping fees etc..) contact Jennifer DeKrey (263-0374) at the Foundation for a verbal confirmation. DO NOT write multiple checks for smaller amounts, with the intent of circumventing this requirement.
5. Are receipts, cash register tapes or sales slips documented for every purchase?
Ideal Answer: YES. It's proper account practice to maintain proper documentation on site for all purchases in the event of a questionable expenditure or an audit.
Reconciliation
6. Does the person who reconciles the checking account have signatory authority?
Ideal Answer: NO. This separation of duty control is critical to prevent any unidentified expenditures that may be inappropriate.
7. Is the checkbook reconciled within 10 days of receiving the bank statement?
Ideal Answer: YES. Timely reconciliation and balancing to the bank statement can detect any unauthorized expenditure in a timely manner.
8. Are all bank service charges, interest earned, check printing charges, etc. recorded on the reimbursement log and in the checkbook register?
Ideal Answer: YES. In addition to recording these in your register, you also must submit on your reimbursement request to keep the account in line with its' authorized balance. If monthly interest is earned, account for that on your reimbursement request by (netting) the amount to the monthly service charges for the same period.
9. Are all stale-dated check amount(s) (over 6 months old) added back to the checkbook register and (netted) on your next reimbursement log?
Ideal Answer: YES. Chances are you have been already reimbursed for these stale-dated disbursements, but have not physically paid them out bank account. Thus, you have more money in your account, since the payee has not drawn upon your account on the outstanding amount. It is important to contact the payee about the stale check and resolve the debt (i.e. have them cash the check or reissue another check and write-off initial payment). In order to keep you account in balance with your authorized limit, you must add back the amount of the stale check amount to your register AND (net) the amount on your next reimbursement request.
10. Is the account reconciled to the authorized amount immediately following reconciliation to the monthly bank statement?
Ideal Answer: YES. This is a very important step in assessing whether your account is in balance with your UWF authorized balance amount. To do this, simply take your adjusted checkbook balance and add your total unreimbursed expenditures. This sum should equal the authorized amount of your account. (See instructions on "How to reconcile your cash or checking account to your Authorized Advance Balance").
Reimbursements
11. Are reimbursements submitted at least every six months?
Ideal Answer: YES. Frequent reimbursements allow the account to maintain a solvent level of activity without the threat of insufficient funds.
12. Are all checks accounted for?
Ideal Answer: YES. All checks should be properly accounted for on every register and reimbursement request log (even voided checks).
13. Are all individuals who have signatory authority current with the UW-Foundation permanent file of signature cards?
Ideal Answer: YES. All authorized signatory employees must be registered with the UW-Foundation in order to make authorized transactions upon Foundation funds.
14. Are there any additional funds (besides your reimbursements) that are deposited in this account?
Ideal Answer: NO. The initial beginning balance and reimbursement deposits should be the only deposits made to these accounts.
15. Are checks made out to individuals for personal benefit?
Ideal Answer: NO. Funds may not be used for the personal benefit of individuals (except in the event of a formally established award or support program).