The treasurer is the person responsible for the finances. They are the one who keeps track of what’s in the account and who has the overall overview when the board discusses how the money should be spent.

The treasurer is also responsible for paying bills and maintaining the accounts, where all incoming and outgoing amounts are recorded in an overview (e.g., in Excel), and where all receipts are collected and matched with the transactions in the account. The association may choose to use an online accounting program or seek help from an external company.

The treasurer is often primarily responsible for preparing the association’s budget in collaboration with the rest of the board and ensuring that it is followed throughout the year.

The treasurer may also be in charge of managing membership fees, but not necessarily, as long as they ensure that all amounts related to this are recorded in the accounts.

Most associations are exempt from paying VAT, so the accounting part is a bit simpler than for companies that are required to pay VAT.

A treasurer is not the same as an auditor. If an association uses an auditor, it is often an external person assigned to the task. The auditor’s job is to check the treasurer’s work and ensure that the accounts are correct and legal. The treasurer manages and administers the finances, while the auditor checks the financial administration. The treasurer is an active participant in the association’s finances, while the auditor is an independent supervisor.

If the chairman has financial responsibility or access, the financial work is often done in collaboration with the treasurer. It’s nice to have someone to brainstorm with.

If you are a treasurer in a small association, read here.

If you are a treasurer in a larger association or want to learn more about proper accounting, read here.