The essential tools for managing your association's expenses are those that will help you save time, avoid errors and optimize your budget by automating certain tasks. Comprehensive, easy-to-use solutions are available online. Some are free, others are not. Each association can find the one that suits it best from among all the offerings on offer.
As needs vary according to the size and activities of the association, the tools listed in this article serve as a starting point. You then need to adapt your approach to suit your own needs.
As an association manager, you know that expense management is essential to the smooth running of your organization. Here are 5 practical and effective tools you can use right away.
Accounting software
Accounting software specially designed for associations is not just for professional accountants. There are also some available for novices, allowing them to :
- record all the association's financial transactions (income and expenditure),
- generate reports,
- create budget forecasts,
- monitor cash flow over several bank accounts,
- prepare tax and social security returns...
Other functions are often associated with accounting software, such as :
- member management, including registration of subscriptions,
- sending letters and mailings,
- inventory management...
An expense management system
Expense reports are common in associations, for example, where members or employees frequently make small purchases on behalf of the organization, paying with their own money. Using an online expense management system will enable those involved to submit their expenses easily and instantly, taking a photo of invoices and receipts.
We automate the calculation of lump-sum and mileage allowances, and speed up the approval and processing of expense claims, facilitating the entire reimbursement process.
A budget monitoring tool
It's essential for association managers to keep a close eye on budgets to avoid excessive or unjustified expenditure. Budget tracking tools are used to produce detailed budgets, monitor actual expenditure against forecasts, and consequently make informed decisions about financial resources.
On the other hand, a provisional budget is a key element in obtaining subsidies. If the association needs funding, it's vital that it is able to draw up a realistic, balanced budget, or risk being turned down for a particular grant.
A supplier management system
Associations often need to work with external suppliers for a variety of reasons, such as sourcing supplies, paying insurance, repairing equipment... A supplier management system is useful for storing contracts in digital format, filing and verifying invoices, tracking due dates, automating payments... It also facilitates communication with suppliers.
It's important to remember that your association's members are also resource providers, thanks to their membership fees. To manage these members efficiently, a dedicated tool can be used.
A tool for managing donations and grants
Most associations owe their existence to donations from individuals or various organizations, and to government subsidies. For some associations, it may be useful, or even essential, to have software to manage these funds. This tool can record donations received directly via the Internet, track their use, generate tax receipts and evaluate the effectiveness of fund-raising campaigns.
Good to know: the Republican Pact law passed in August 2021 impacts the management of donations and grants. Controls have been tightened, and sums received from abroad are subject to greater supervision. Every association must be able to justify the source of each funding (grants, bank loans or donations), on pain of heavy penalties.