How to Fill Out and Submit the PTA Financial Review Form

The PTA financial review form is the worksheet a committee of uninvolved members uses to verify that every dollar the unit took in and paid out during the fiscal year is accounted for. You complete it by gathering the treasurer’s records, reconciling the books against the bank statements, checking the procedural controls behind each transaction, and recording the committee’s finding for the membership to adopt by vote. Most state PTAs publish their own version of the form, and National PTA offers a sample Excel template through its Local Leader Kit.¹

Who Fills Out the Form

The review committee has to be made up of PTA members with no role in handling the unit’s money. Anyone authorized to sign checks, access bank accounts, or process payments is automatically disqualified.¹ That rules out the treasurer whose books are under review, the president who authorized expenditures, the secretary who kept the minutes, and any committee chair who handled significant cash from fundraising or membership.² Members related to current officers, or with other conflicts of interest, should also step aside.

Minimum committee size varies. Colorado PTA requires at least two members;³ other state bylaws call for no fewer than three. Check your own state PTA’s bylaws for the number your unit needs. If your pool of eligible volunteers is too small, or the review surfaces serious concerns, National PTA suggests hiring a professional auditor.¹

What the Treasurer Should Hand Over First

Before the committee opens the form, the treasurer needs to assemble a complete packet covering the fiscal year. Most PTA fiscal years run July 1 through June 30, so everything from that twelve-month window belongs in the packet. Pulling it together in advance saves the committee from chasing paperwork mid-review.

The checkbook register or general ledger showing every transaction by date.
All twelve monthly bank statements for the review period.
Cancelled checks or digital images, to confirm payees.
Deposit slips and cash verification forms signed by at least two people.⁴
Invoices, receipts, and payment authorization forms for every disbursement.¹
The approved budget and any amendments recorded in meeting minutes.
Board and general membership meeting minutes for the year.
Last year’s financial review report, because its ending balance is this year’s starting point.⁵

Money collected through PayPal, Square, or a merchant account needs the same documentation as check and cash transactions, and every dollar flowing through a digital platform must appear in the treasurer’s monthly reports.⁶ If an online account doesn’t deposit directly into the main checking account, review it as a separate account.

Entering the Numbers on the Form

The layout differs by state, but the math is the same on every version. Start with the identifying information at the top: unit name, unit ID number, and the start and end dates of the review period.

The first figure is the beginning balance. Copy it from the ending balance on last year’s financial review report. The two must match exactly. If they don’t, stop and find out why, because every number that follows will inherit the error.

Enter total receipts next. Add up fundraising proceeds, membership dues, donations, and any other income collected during the year, then cross-check the total against bank deposits and the treasurer’s monthly reports so nothing is left off.¹

Then enter total disbursements: every check, electronic transfer, and online payment made during the year. Each one should trace back to an invoice or receipt and to a recorded authorization in the minutes.⁴

The core calculation is simple. Beginning balance plus total receipts minus total disbursements equals the calculated ending balance. Write that figure on the form and compare it to the balance on the bank statement for the last day of the fiscal year.

Reconciling to the Bank Statement

The calculated balance and the bank balance rarely match on the first pass. That’s what the reconciliation section is for. List outstanding checks (written but not yet cashed) and deposits in transit (made but not yet posted). Subtract the outstanding checks from the bank statement balance and add the deposits in transit. The adjusted bank balance should now equal the ledger’s ending balance.⁴

If the two numbers still don’t agree, look harder. Common causes include bank fees never recorded in the ledger, duplicate entries, transposed digits, stale checks more than six months old that should be voided, and deposits recorded in the ledger but never actually made. Work the discrepancy until the figures agree before moving on.

Procedural Checks Beyond the Math

The numbers can balance while the controls behind them are weak. National PTA’s guidance flags several things to check as you go:¹

The endorsement on each cancelled check matches the payee on the front.
Every check carries two authorized signatures, as most PTA bylaws require.
No disbursements were paid in cash. All payments should be by check or electronic transfer.
Every disbursement has an invoice, a receipt, and an authorization signed by the president and secretary.
Every cash deposit has a verification form signed by at least two members, one of whom is an officer or committee chair.⁴

Any transfer between an online payment account and the general checking account should be backed by a signed authorization form, and any payment made through an online platform should be authorized by two people with check-signing authority. Note every gap you find. Procedural weaknesses go into your final report even when the bottom-line numbers reconcile.

The Committee’s Finding and Signatures

Once the numbers balance and the procedural review is done, the form asks the committee to record one of two findings. If everything checks out, the committee states that the records were examined for the review period and found to be correct.¹ If the records need work, the alternative finding says more adequate accounting procedures are needed, and the committee explains what’s missing or incorrect.³

Every committee member signs and dates the form. Some state PTAs also require the president and treasurer to sign after any errors have been corrected. If the committee found problems, attach a separate written report describing them and the recommended corrective actions. California PTA suggests specific language for recurring findings, along the lines of “Check numbers XXX were issued before authorizations were approved” or “Cash verification forms on [dates] had only one signature.”⁴

Submitting the Report

The signed form goes first to the PTA board of directors, then to the full general membership at the next scheduled meeting. A committee member or the secretary reads the report aloud, the membership votes to adopt it, and the adoption is recorded in the minutes. Those minutes become the permanent record of the unit’s fiscal oversight.¹

After adoption, keep the original signed form and any attachments under your unit’s document retention procedures. Many state PTAs also require you to upload or mail a copy to the state office to keep the unit in good standing, and deadlines vary.⁷ Check your state PTA’s due date. Missing it can affect standing and eligibility for state programs.

If Money Is Actually Missing

A real shortfall (not a bookkeeping error but suspected theft or mismanagement) is outside the ordinary review process and changes what you do next. Do not confront the suspected individual, and do not accept a personal repayment offer unless it’s the full amount paid immediately by certified check, cashier’s check, or money order.⁸ Notify your district or council PTA president and your state PTA office right away. They can help you decide whether to file a police report and how to contact your insurance broker about fidelity bond or theft coverage. Report the loss to your insurance carrier promptly, because delay can jeopardize coverage.

Confirming the IRS Filing While You’re Here

The review is a natural point to confirm the unit’s annual IRS filing was completed on time. Every tax-exempt organization must file an annual return: Form 990-N (the e-Postcard) for units with gross receipts normally at or below $50,000, and Form 990-EZ or Form 990 for larger organizations.⁹ Ask the treasurer for documentation of the current year’s filing.

If a unit fails to file for three consecutive years, the IRS automatically revokes its tax-exempt status. Revocation takes effect on the filing due date of that third missed year, and the IRS publishes the organization’s name on a public list.¹⁰ Reinstatement requires a new application, and the IRS will only backdate it on a showing of reasonable cause. Catching a missed filing during the review, before three years stack up, keeps that problem from ever reaching the unit.

1
National PTA. Internal Financial Review
2
Ohio PTA. Financial Review Guide
3
Colorado PTA. PTA Financial Review/Audit Committee Report Form
4
California State PTA. Financial Review Procedure and Recommendations
5
National PTA. Finance Quick Reference Guide
6
California State PTA. Financial Procedures for the Internet
7
California State PTA. PTA Financial Review Report
8
California State PTA. Mismanagement of Funds/Embezzlement
9
Internal Revenue Service. Annual Electronic Filing Requirement for Small Exempt Organizations – Form 990-N (e-Postcard)
10
Office of the Law Revision Counsel. 26 USC 6033 – Returns by Exempt Organizations