ABC SHRINERS SAMPLE FINANCIAL STATEMENTS TABLE OF CONTENTS

Transcription

1 Form #21 ABC SHRINERS SAMPLE FINANCIAL STATEMENTS TABLE OF CONTENTS Page Report (The appropriate report letter for audited or reviewed financial statements should be used) Statement of Financial Position Statement of Activities and Changes in Net Assets Statement of Cash Flows Notes to Financial Statements to 22 Schedule: (1) Unrestricted Net Assets: Detailed Statement of Activities and Changes in Net Assets (2) Temporarily Restricted Net Assets: Detailed Statement of Activities and Changes in Net Assets (3) Permanently Restricted Net Assets: Detailed Statements of Activities and Changes in Net Assets (4) Detailed Statement of Revenues and Expenses of Fundraising Activities Updated MAY

2 ABC SHRINERS SAMPLE FINANCIAL STATEMENTS Year Ending December 31, 20 (with comparative totals for December 31, 20 ) REPORT OF (CERTIFIED PUBLIC) (CHARTERED) (LICENSED PUBLIC) ACCOUNTANTS Every temple is required to have its financial statements and those of its affiliated and appendant corporations, including temple holding corporations, reviewed in accordance with U.S. standards for reviewed financial statements by a certified, chartered or licensed public accountant selected by the temple at the close of each year. In no case are Compiled or Internally Prepared statements permitted. If the temple is not located in the U.S.A., the review is limited to those procedures normally performed in the conduct of its country s review. NOTE: Audited Financial Statements may be required under the following circumstances: (1) The Imperial Potentate may, for good cause, order a temple to have an audit instead of a review, (2) A temple may, by its bylaws, require an audit instead of a review, (3) A temple may, at a stated or special meeting, require an audit instead of a review. NOTE: Refer to Bylaw Section Updated MAY

3 SAMPLE FINANCIAL STATEMENTS ABC SHRINERS STATEMENT OF FINANCIAL POSITION December 31, 20 (with comparative amounts for December 31, 20 ) ASSETS Temporarily Permanently Unrestricted restricted restricted Total Total Cash and cash equivalents Dues and accounts receivable, less allow. for doubtful receivables of $ and $. Prepaid expenses Investments Other Assets Property, equipment and paraphernalia, less accumulated depreciation of $ and $. TOTAL ASSETS $ $ $ $ $ ======== ========== ======== ===== ===== LIABILITIES AND NET ASSETS Temporarily Permanently Liabilities: Unrestricted restricted restricted Total Total Accounts payable Accrued expenses Deferred revenues Notes payable Long-term debt TOTAL LIABILITIES $ $ $ $ $ Net Assets: Unrestricted General operating Circus Trustees TOTAL UNRESTRICTED $ $ $ $ $ Temporarily restricted Building improvement Shrine Hospital Patient Transportation Life membership Charitable fundraising activities TOTAL TEMP. RESTRICTED $ $ $ $ $ Permanently restricted Total net assets $ $ $ $ $ Total liabilities and net assets $ $ $ $ $ Updated MAY ========= ========== ======== ===== ===== The accompanying notes are an integral part of these financial statements.

4 ABC SHRINERS STATEMENT OF ACTIVITIES AND CHANGES IN NET ASSETS December 31, 20 (with comparative amounts for December 31, 20 ) REVENUES Initiation fees Membership dues and PCT Rental income Investment income Miscellaneous income Donations Fundraising total revenues Other revenues- net Net assets released from restrictions Temporarily Permanently Unrestricted restricted restricted Total Total TOTAL REVENUES $ $ $ $ $ EXPENSES Shriners International & PCT Administrative Fundraising total direct cost Building operations Business sessions and ceremonials Social activities Visitations and pilgrimages Promotions and publicity Unit and club expenses Donations-fraternal groups Members relations Shrine Hospital patient transportation Donations-charities Temporarily Permanently Unrestricted restricted restricted Total Total TOTAL EXPENSES $ $ $ $ $ Change in net assets Net assets at beginning of year NET ASSETS AT END OF YEAR $ $ $ $ $ ========= ========== ======== ===== ===== The accompanying notes are an integral part of these financial statements. Updated APR

5 ABC SHRINERS STATEMENT OF CASH FLOWS Year Ended December 31,20 (with comparative amounts for December 31, 20 ) Cash flows from operating activities: Total Total Change in Net Assets Change in Net Assets $ $ Adjustments to reconcile change in Net Assets to net cash provided by operating activities: Depreciation Decrease (increase) in accounts receivable Decrease (increase) in prepaid expenses Increase (decrease) in accounts payable Increase (decrease) in accrued expenses Increase (decrease) in deferred revenues Net cash provided by operating activities Cash flows from investing activities: Additions to property & equipment $ $ Investment purchases Proceeds from sales and maturities of investments Net cash used in investing activities Cash flows from financing activities: Borrowings from notes payable and mortgages $ $ Principal pymts on notes and mortgages payable Net cash provided by financing activities: Net increase (decrease) in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year $ $ =========== ========= The accompanying notes are an integral part of these financial statements. Updated MAY

6 ABC SHRINERS NOTES TO FINANCIAL STATEMENTS December 31, 20 - and 20 1-Summary of Significant Accounting Policies (a). Organization - ABC Shriners is an unincorporated association and a subordinate temple of Shriners International. The Temple remits certain fees and charges to Shriners International for granting dispensations, charters, certificates and diplomas and for Shriners Hospitals for Children and other charitable purposes. Such fees, charges and hospital levy paid to Shriners International were $ and $ for 20 and 20, respectively. Various units and clubs are sponsored by the Temple. Certain of these units and clubs maintain funds outside the control of the temple governing body. (b). Basis of presentation - The financial statements of the ABC Shriners include the accounts of the following entities under the control of the Temple: ABC Shriners (The financial statements should also list all other incorporated entities, such as Temple Holding Corporation, included in the financial statements). The accompanying statements have been prepared on the accrual basis of accounting. All financial transactions have been recorded and reported as either unrestricted or temporarily restricted or permanently restricted net assets based on the existence or absence of donor imposed restrictions. Unrestricted net assets consist of investments and otherwise unrestricted amounts that are available for use in carryout the activities of the Temple. Temporarily restricted net assets consist of contributions received for the Shrine Hospital Patient Transportation Fund, life membership dues and plant additions or improvements, if applicable. Net assets released from restrictions represents expenses incurred during the year that satisfied the restricted purpose. Permanently restricted net assets consist of contributions that are subject to donor imposed stipulations that they be maintained permanently by the Temple. Generally, the donors of these assets permit the Temple to use all or part of the income earned on related investments for general or specific purposes. (c). Cash equivalents - For purposes of the statement of cash flows, the Temple considers all highly liquid investments with original maturities of three months or less, to be cash equivalents. As of December 31, 20, total cash and cash equivalents of $ included restricted amounts as follows: Temporarily restricted for: Shrine Hospital Patient Transportation $ Life membership dues Charitable Carryover Building improvements TOTAL $ ================ Updated MAY

7 (d). Dues and assessments - Dues, per capita tax, and hospital assessments are accrued for all members at the beginning of the fiscal year, but are reduced at the end of the year for members demitted and for members suspended for nonpayment of dues. (e). Inventories - Inventories are stated at the lower of cost using first in, first out (FIFO) or market. (f). Investments - Investments in stocks and bonds are stated at fair market value. The net realized and unrealized gains and losses on investments are reflected in the statement of activities. (g). Property, equipment and paraphernalia - Property, equipment and paraphernalia are stated at cost. Maintenance and repairs are charged to operations as incurred. At the time items are retired or disposed of, the applicable cost and accumulated depreciation are cleared from the accounts and the difference, net of proceeds, is charged or credited to operations. (h). Income taxes Shriners International has obtained exemption from income taxes under Section 501 (c)(10) of the Internal Revenue Code. This exemption includes all subordinate Shrine temples. However, certain other revenues such as advertising may be subject to taxation. (i). Use of estimates - Management of the temple has made a number of estimates and assumptions that affect certain reported amounts and disclosures in these financial statements in conformity with generally accepted accounting principles. Actual results could differ from those estimates. (j). Contributed services - No amounts have been reflected in the financial statements for donated services. The Temple pays for most services requiring specific expertise. (Note: You are required by FASB 116 to disclose only contributions of services that (a) create or enhance nonfinancial assets or (b) require specialized skills that would typically need to be purchased if not provided by donation.) (k). Asset and liability liquidity - On the Statement of Financial Position, the assets have been presented in a sequence according to their nearness of conversion to cash and the liabilities have been sequenced according to their nearness of their maturity and resulting use of cash. (l). Life Membership - Money received from Nobles purchasing life memberships shall be placed in a perpetual fund. Only income from the fund may be withdrawn and used for the operating expenses of the temple, unless temple bylaws provide for the release of dues upon the death of the life member. 2-Adoption of New Accounting Pronouncement FASB Accounting Standards Codification became effective for interim and annual periods after September 15, All existing accounting standard documents are superseded. 3-Fundraising Activities The activities of the Temple and its affiliated entities are supported principally through dues from members and fundraising activities consisting of circuses, food sales, onion sales and other miscellaneous activities. Additionally, fundraising events consisting of paper crusades donations, football games, golf tournaments and other miscellaneous events, are also held for the benefit of Shriners Hospitals for Children. In the case of activities held for the benefit of Shriners Hospitals, events can only be sponsored with the written approval of Shriners International and Shriners Hospitals for Children. All of the net proceeds from such activities are remitted to Shriners Hospitals for Children or, with written permission; a portion may be retained by the Temple's Shrine Hospital Patient Transportation Fund. Updated MAY

8 4- Investments Investments of the Temple consisted of: Cost Market Cost Market UNRESTRICTED FUNDS: Operating Fund: $ $ $ $ Building Improvement Fund: $ $ $ $ Other: $ $ $ $ Total $ $ $ $ ====== ===== ====== ====== TEMPORARILY RESTRICTED FUNDS: Patient Transportation: $ $ $ $ Life Membership: $ $ $ $ Other: $ $ $ $ Total $ $ $ $ ====== ===== ====== ====== FAIR VALUE MEASUREMENTS FASB ASC Topic 820, Fair Value Measurements and Disclosures, defines fair value as The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. FASB ASC Topic 820 establishes a fair value hierarchy based on certain criteria into three broad levels: Level 1: Fair value is determined by using quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2: Fair value is determined by using other than quoted prices included within Level 1 that are observable for the asset or liability (e.g., quoted prices for identical assets or liabilities in markets that are not active, quoted prices for similar assets or liabilities in active markets, observable inputs other than quoted prices, and inputs derived principally from or corroborated by observable market data by correlation or other means). Level 3: Fair value is determined by using inputs based on management assumptions that are not directly observable. These types of assets and liabilities require significant management judgment or estimation. Note: If you do not currently have any financial instruments that should be categorized under one or more of the above levels, please indicate such in the footnotes. In addition, if only the temple s investments are measured at fair value on a recurring basis, please include in the footnote that no other assets and liabilities are measured at fair value on a recurring or nonrecurring basis. SAMPLE REPORTING TABLE BY LEVEL List each asset or liability on a separate line and indicate which level of valuation the asset or liability falls under. The total of all three levels should agree to the investment totals reported by fund on the Statement of Financial Position. Fair value measurements at reporting date using: December 31, 20 Level 1 Level 2 Level 3 $ $ $ $ Updated OCT

9 5- Property, Equipment and Paraphernalia Property, equipment and paraphernalia, together with annual depreciation consist of: Temporarily Unrestricted Restricted TOTAL TOTAL Land..... Building and improvements. Equipment... Vehicles... Paraphernalia...., Less: Accumulated Hospital Van Depreciation Accumulated Other Depreciation Net Book value $ $ $ $ ============ ========= ======= ======= Depreciation charged to operations was $ and $ during 20 and Long-Term Debt Long-term debt consists of: % mortgage note payable, collateralized by property; due in monthly installments of $ including principal and interest, through, $ $ Less current maturities.... $ $ ======== ========= Maturities of long-term debt for the five years subsequent to December 31, 20 are as follows: December 31, 20 $ December 31, 20 December 31, 20 December 31, 20 December 31, Related Party Transactions (All transactions with related parties (board members, family members, etc.) should be disclosed including the name of the related party, the description of the transaction(s), the dollar amount of the transaction(s) and any amounts owed to or from the related party at year-end.) 8- Pension Plan (Disclosures required by Statements of Financial Accounting Standards are required if the temple has a pension or any other similar type of benefit plan including deferred compensation arrangements.) Updated MAY

10 Schedule 1 ABC SHRINERS DETAILED STATEMENT OF ACTIVITIES AND CHANGES IN UNRESTRICTED NET ASSETS For the Year Ended December 31, 20 Revenues: General Board Designated: (1) Life Operating Circus Trustee Membership Total $ $ $ $ $ Initiation fees.. Membership dues and PCT (Net)... Rental income... Investment income... Realized gains/losses.. Miscellaneous income.. Donations Fraternal fundraising revenue Less: Direct fundraising costs- Net proceeds from fundraisers... Other revenues-net. Total revenues Expenses: Shriners International and PCT. Administrative. Building operations. Business sessions and ceremonials Social activities/entertainment. Visitations and pilgrimages Promotions and publicity Unit and club expenses.. Donations-fraternal groups Members' relations.. Donations-charities.. Total expenses Change in net assets Net assets at beginning of year.. Transfers: Circus carryover... Depreciation on Temple.. Fixed asset additions.. Net assets at end of year.. $ $ $ $ $ ======= ====== ====== ===== ===== (1) Include funding for meritorious service and longevity life memberships according to temple bylaws. Updated APRIL

11 ABC SHRINERS Schedule 2 DETAILED STATEMENT OF ACTIVITIES AND CHANGES IN TEMPORARILY RESTRICTED NET ASSETS For the Year Ended December 31, 20 (A separate column should be used for display of each charitable fundraising activity) Building Shrine Hospital (1) Life Paper Crusade Shrine Improvement Patient Transportation Membership Activity Football Activity Total $ $ $ $ $ $ Net proceeds from fundraisers: (List each activity: which should correspond to all charitable purposes activities shown on Schedule 4) Authorized distribution to temple's Hospital Patient Transportation Fund. Donations. Life membership dues. Interest income Distribution of life members' dues Other (describe)..total revenues Donations to Shriners Hospitals Donations to other charities Hospital Patient Transportation expenses Depreciation on hospital van Other (describe). Total expenses Change in net assets Net assets at beginning of year... Net assets at end of year.. $ $ $ $ $ $ ====== ====== ====== ====== ========= ======= (1) Includes funding for life memberships placed in a perpetual fund whereby temple bylaws provide that upon the death of a life member, an amount equal to the sum paid by him may be transferred to the operating fund of the temple. Updated MAY

12 Schedule 3 ABC SHRINERS DETAILED STATEMENT OF ACTIVITIES AND CHANGES IN PERMANENTLY RESTRICTED NET ASSETS For the Year Ended December 31, 20 (1) Life Membership Other Endowment Total $ $ $ Life Membership Dues. Donations.. Interest Income. Other (describe) Total revenues.. Other (describe) Total expenses. Changes in members equity Net assets at beginning of year Net assets at end of year.. $============= $============= $========== (1) Includes funding for life memberships placed in a perpetual fund whereby temple bylaws provide that only income from this fund may be withdrawn and used for the operating fund of the temple Updated OCT

13 ABC SHRINERS Schedule 4 DETAILED STATEMENT OF REVENUES AND EXPENSES OF FUNDRAISING ACTIVITES For the Year Ended December 31, 20 Fraternal Purposes Charitable Purposes Circus Golf Paper Crusade Fish Fries Other Revenues $ $ $ $ $ Ticket sales/cash donations *Telemarketing gross receipts [A] Advertising sales Program sales Novelty sales Concession sales Interest income TOTAL REVENUES $ $ $ $ $ Donation to SHC/HPTF Expenses Prizes Circus production Facility rental/security fees *Telemarketing costs [B] Professional fundraiser Advertising/Promotion fees Cost of printing programs/supplies Cost of novelties sold Cost of food sold General office overhead (Other) Commissions paid to units/clubs TOTAL EXPENSES $ $ $ $ $ Excess revenues over expenses & Donation to SHC/HPTF** * You are requested to show total receipts from telemarketing sales. Should you receive a net amount from the telemarketing firm, just divide the amount received by the temple s percentage agreed upon in your contract. This will compute 100% revenue[a]. Calculated revenue less amount received equals telemarketing fees[b]. ** Total net revenues from fraternal and charitable fundraising activities reported on the schedule must agree to the appropriate total net proceeds from fundraising activity unrestricted and temporarily restricted amounts reflected in the Statement of Activities and Changes in Net Assets. Updated MAY