The keys to sustainable expense management in associations serving people with disabilities

11 best practices for expense management

Expense management is one aspect of your overall financial management. By establishing a clear policy, raising staff awareness and adopting the right management tools, associations and foundations dedicated to PSH can guarantee the responsible use of resources, and thus strengthen donor confidence. A proactive approach and a high level of transparency in your expense management contribute to the long-term viability of your activities.

Here are some good practices to consider as the head of an association or foundation serving people with disabilities:

1. Develop a clear expense reimbursement policy, defining allowable expenses, reimbursement limits, procedures for submitting receipts and any penalties for non-compliance. A thorough understanding of these rules helps minimize errors and disputes.
2. Encourage employees and volunteers to keep all supporting documents, such as receipts, invoices and other documents needed to prove expenses incurred.
3. Set up a standardized form to simplify submission and processing.
4. Require managerial validation of every expense claim to ensure compliance and proper oversight. Regular monitoring enables early detection of anomalies, with periodic checks to ensure that expenses comply with established policies.
5. Collaborate with financial service providers specialized in expense management. These partners will bring you their expertise to offer you the right solutions.
6. Organize training sessions for staff and volunteers to raise awareness of expense management and best practices.
7. Use technological tools such as an online account dedicated to expense management, making it easier to track, budget and validate expenses. These specialized software applications enable fast, efficient processing of expense reports, reducing the risk of human error and generating detailed reports for greater financial visibility.
8. Set strict deadlines for parts delivery.
9. Communicate transparently about refund policies, deadlines and procedures.
10. Emphasize ethical principles in expense management, stressing the importance of thoughtful use of available funds.
11. Carry out regular internal audits to check that procedures are being followed and that funds are being used in accordance with the association's objectives.

7 challenges for PSH association and foundation managers

Managing expense accounts within your association dedicated to people with disabilities can present a number of challenges due to its particular nature.

Here are seven potential challenges:

1. Diverse needs of your beneficiaries: disabled people have different needs depending on their disability, resulting in specific expenses that need to be properly documented in expense reports.
2. Complex regulations: PSH associations and foundations are often subject to specific funding and subsidy regulations. Expense management must comply with these rules, which can be complex and demanding.
3. Multiple sources of funding: donations and grants can be numerous and of different kinds. Tracking the use of your funds through expense reports is not easy.
4. Need for transparency: your private and/or public donors have the right to demand total transparency in the use of their money. This means that expense reports must be accurate, complete and comprehensible.
5. Training your staff: staff in charge of managing expense claims need to be trained to understand the specificities of disability-related expenses.
6. Special receipts: disability-related expenses may require special receipts, such as medical bills, prescriptions, specialist reports, etc., which you will need to handle appropriately.
7. Adapting to technological change: using new technologies to manage expense claims can be a challenge, if your association doesn't have access to modern IT systems, or if your staff aren't sufficiently trained.