After the response to my previous article, I thought that I should give you an idea of what working in the charity sector involve.
I have worked in the Charity Sector for over 15 years as a Community Accountant, Payroll Manager, Treasurer, Assessor, Trainer, Consultant, Independent Examiner, and Auditor.
What are some of the skills you need?
An understanding of how Charities/Community groups are set up and governed.
Understanding of Fund Accounting.
Understanding of the Charities Accounting SORP and SOFA.
Understanding of the different ways groups generate income e.g. Funding, Service Level Agreements, Contracts, Donations , Trading etc
Gift Aid
Charities VAT and Taxation.
Useful to know Excel, Sage, Quick Books, MYOB, TAS, Sun Accounts (these are the ones most of the groups I have come across use)
Budgets
Prepare budgets for multiple projects over 3 year period or more
Help with financial information for Grant applications
Basic bookkeeping: (cash based charities)
Writing up a cash received book (Income book)
Writing up expenditure book (Expenses book)
Writing up and balance petty cash on the Imprest System
Preparing Receipts and Payment Cash Based
Preparing Accruals Accounts Income and Expenditure Account
Other Bookkeeping tasks
Maintain Sales Ledger
Maintain Purchase Ledger
Maintain Fixed Asset Register
Maintain Membership records
Keeping tract of Grants and Donations
Management Accounts
Prepare a report of Actual Income and Expenditure against Budget
Prepare Variance Report
Prepare Cash Flow Forecasts
Prepare Financial Reports for Funders, and Management Committee members.
End of year
Independent Examination of Accounts.
Preparing Year End Accounts according to Statement of Recommended Practice (SORP) and Statement of Financial Activities (SOFA).
Liaising with Auditors.
Working with Treasurer in preparing Annual Returns and Report.
Reclaim tax on donations from HMRC for Gift Aid
Sending Accounts to Charities Commission, Companies House, etc.
