Gift Accounting and Acknowledgment Providing High Quality Professional Service to Your Organization: A Large Shop Perspective Presented by Michael Seymour Senior Director, Development Operations Keck School of Medicine University of Southern California email@example.com
Presentation Goals • Gift Acceptance Policies • Best Gift Accounting Practices for Larger Shops • Checks / Cash gifts • Credit Card gifts • Electronic Fund Transfers (EFTs) • Acknowledgements and Receipts • New(er) Technologies: barcoding and scanning • Work Flow and Forms • Resources
Gift Acceptance Policies • 3 ways to take gifts: - for granted - with guilt - with gratitude • Need to establish a written policy for the types of gifts your institution will and will not accept • Who can accept gifts on behalf of the institution ? President ? VP’s ? Financial Officers ? Development Officers ? • Policy is often tied to your institution’s mission and/or goals • Legal / Tax ramifications
Best Gift Accounting Practices for Larger Shops We adopt and implement best practices in order to achieve: • Overall cost savings for the organization • Reduce complexity • Improve operational efficiency • Improve communication • Continued availability of service
Checks / Cash gifts • USC KSOM prepares batches for gifts of $1 - $1,500 to be sent to Bank of America processing center. A courier comes 3 times a week. (Monday / Wednesday / Friday) • Checks over $1,500, any cash deposits and all credit card gifts get batched daily and are deposited at the Cashier’s Office via “G” receipts. Larger gifts ($25,000 / $50,000 / $100,000 +) are put onto a single G-receipt to facilitate processing of the batch.
Credit Card gifts • Credit cards are swiped daily, copied for file documentation and batched. They are sent to the Cashier’s Office for G-receipts. • Batches are then entered onto the gift system through Restricted Fund Accounting (RFA).
Electronic Fund Transfers • Electronic Fund Transfer gifts (EFTs) are made through the on-line giving websites. Notification of donations are made via e-mail to Sr. Director of Development Operations and he accesses the secured server for the data / transactions. 99% of these gifts are memorial donations.
Acknowledgements and Receipts • Memorial gifts get entered into a separate MS Access database (dating back to FY94). Acknowledgements get printed in batches after entry (daily / every couple of days, etc…) • Donor gets an acknowledgement and the surviving family / relative gets an acknowledgement • Once the gift is entered into the gift system, official IRS tax receipts are generated in batch sequence (usually weekly).
New(er) Technologies: barcoding and scanning • Some institutions are using barcoding and scanning of gifts which greatly speeds up processing time. (example: University of Illinois Foundation contact: Christy Devocelle, Director of Gift Operations firstname.lastname@example.org)
Resources • Fundsnet -- www.fundsnetservices.com/fundrais.htm • CASE -- www.CASE.org Advancement Services section • Bentz Whaley Flessner bibliography “Gift Regulation Resources” tab