“Whoever is faithful with little will also be faithful with much.” – Luke 16:10
1. Purpose of the Policy
The purpose of this Financial Management Policy is to:
- Ensure sound, ethical, and transparent financial practices.
- Safeguard CKG’s assets and resources.
- Build trust with donors, stakeholders, and beneficiaries.
- Provide clear financial procedures for budgeting, record-keeping, spending, and reporting.
2. Scope
This policy applies to:
- All financial transactions carried out by Citizen in the Kingdom of God(CKG).
- All staff, board members, volunteers, or partners involved in handling finances.
3. Guiding Principles
CKG commits to:
- Integrity in all financial matters.
- Transparency in budgeting, spending, and reporting.
- Accountability to God, donors, the government, and the communities we serve.
- Stewardship of every resource entrusted to us.
4. Financial Roles and Responsibilities
4.1 Board of Directors
- Approves the annual budget and financial reports.
- Appoints the Treasurer to oversee financial matters.
- Ensures external financial review or audit (as required).
4.2 Treasurer
- Oversees the day-to-day financial operations.
- Ensures accurate record-keeping and bank reconciliation.
- Reports to the Board quarterly and annually.
4.3 Staff and Volunteers
- Follow approved financial procedures.
- Submit receipts and documentation for all expenditures.
- May not handle funds unless authorized.
5. Banking and Cash Management
- CKG shall maintain a bank account in its legal name.
- At least two signatories (usually the Chairperson and Treasurer) are required for any withdrawal or payment.
- No blank cheques or signed withdrawal forms shall be allowed.
- Petty cash may be used for small expenses with proper documentation and a maximum limit (e.g., R1,000).
6. Budgeting
- An annual budget must be developed and approved by the Board before the start of each financial year.
- Budgets must align with CKG’s mission and priorities.
- Budget performance is reviewed quarterly.
7. Income and Donations
- All donations (cash, bank, in-kind) must be receipted and recorded.
- Donors may request reports showing how funds were used.
- CKG will avoid receiving funds from unethical or unlawful sources.
8. Expenditure and Procurement
- All spending must be approved by the Treasurer or Project Manager and align with the budget.
- For purchases above R5,000, at least two quotes should be obtained.
- No personal or unauthorized use of CKG funds or assets will be tolerated.
9. Record-Keeping and Reporting
- All financial transactions must be recorded with proper documentation (invoices, receipts, vouchers).
- Monthly financial statements shall be prepared and submitted to the Board.
- An Annual Financial Report shall be presented at the AGM.
10. Audits and Compliance
- CKG will comply with legal requirements for NPOs under the NPO Act (Act 71 of 1997).
- An independent accountant will review or audit CKG’s finances annually.
- Records must be kept for at least 5 years.
11. Conflict of Interest
- Board or staff members must declare any personal or financial interests that may affect decisions.
- No staff or Board member may approve payments to themselves.
12. Fraud and Misuse of Funds
- Any suspected fraud, theft, or financial misconduct must be reported immediately to the Board Chairperson.
- CKG has zero tolerance for corruption.
- Disciplinary action or legal steps will be taken where appropriate.
13. Faith Foundation
CKG views financial stewardship as a spiritual responsibility. As Citizens in the Kingdom of God, we are called to manage God’s resources with honesty and wisdom, ensuring that every rand serves the mission of restoration, care, and transformation.
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