Financial Guidelines for Parishes in the Diocese of Meath

1
Financial Guidelines for Parishes in the
Diocese of Meath

• Dermot Farrell

2
Core Principles based on

• Canon Law
• Good Business Practice
• Sound Financial Principles and Processes
• Responsibility
• Accountability and Transparency

3
Financial Guidelines

• Mandatory Parish Finance Committee (c 537)
• Membership Parish Priest Clergy with 3-4 lay
  members
• Lay Chairperson with experience in financial and
  business matters
• Two terms 3 years with Rotation.

4
Profile Key Function of Finance Committee

• Meet 4-5 times per year
• Approve accounts and discuss financial controls
• Proper books of Account
• Test internal Financial Controls
• Prepare annual budget
• Create a reserve fund
• Meet Auditor annually

5
Auditor

• Each Parish appoints its own auditor
• Review appointment each year
• Maximum of seven years

6
Control over Collections

• Collectors approved by Finance Committee
• At least 2 people to count collections
• Record Amount Prepare Lodgement
• Monies handed in should be receipted

7
Control over Payments

• All Salary payments made through PAYE system
• Employment Contracts
• Access to PRSA must be provided
• All payment requests approved by PP
• A payment request covering each payment
• Supplier Invoice or Receipt
• Petty Cash restricted below 100

8
Bank Accounts

• All Bank Accounts in the name of Parish
• Keep number of accounts to a minimum
• Do not borrow for day to day needs
• Major borrowing for projects approved by Diocese
• Do a quarterly bank reconciliation

9
Assets

• Keep a Parish Asset Register
• -- Property or asset description
• -- Date Acquired
• -- Original Value
• -- Location

10
Reporting

• Prepare Annual Accounts
• Audit by Registered Accountants
• Publish Income Expenditure Statement
• Send copy of Annual Accounts to Diocese
• Ensure property adequately insured