Financial Processes PDF
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Summary
This document outlines the specific requirements for following financial processes, covering accounting, sales invoicing, purchasing, payroll, budgeting, and required documentation. It also discusses the impact of effective financial processes on both the administrator and the organization.
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Specific requirements when following financial processes: - accounting, including recording transactions (sales, costs); monitoring activity (spending, cash flow); auditing (checking financial statements are accurate) - sales invoicing, including creating sales invoices (products/s...
Specific requirements when following financial processes: - accounting, including recording transactions (sales, costs); monitoring activity (spending, cash flow); auditing (checking financial statements are accurate) - sales invoicing, including creating sales invoices (products/services purchased, cost of providing products/services, including VAT, payment terms and conditions); payment of supplier sales invoices (authorisation to make payments, payment methods, meeting payment terms and conditions, recording confirmation of payments sent - Purchasing, including use of approved suppliers, achieving value for money, credit limits, purchasing methods, terms and conditions, creating purchase orders, logging and tracking purchases, making payments (petty cash, business credit card, on account), management of purchase receipts (information requirements) - payroll, including creating pay statements; making salary payments/deductions; processing employee business expenses; calculating national insurance contributions, calculating pension contributions - managing budgets, including identifying priorities, negotiating/agreeing financial resources; recording of income/expenditure; monitoring income/expenditure against planned activity; taking corrective actions - documentation required for financial processes, including income statement (profit and loss); statement of financial position; purchase orders; delivery notes; invoices; receipts; credit notes; statements of account. - Impact of following financial processes effectively on administrator role: - gives confidence in procedures (payroll, pension, security of personal information). - Impact of following financial processes effectively on the organisation: - ability to forecast finances/take appropriate action - allows for accurate planning resources (finances, time, employees) - ensures compliance with relevant legislation/regulations (retention, security, confidentiality).
