Approved by Trustees: January, 2026 
Review Date: January, 2027
Financial Year End: 30 September

1. Introduction

1.1 Purpose of the Policy

Financial records will be maintained to ensure that DARTFORD NEPALESE COMMUNITY (“DNC”) can:

a) Meet its legal and statutory obligations under charity law, company law, HMRC requirements, and other applicable regulations.

b) Enable trustees to maintain effective financial oversight and accountability.

c) Meet the reporting and accountability requirements of funders, donors, grant providers, and stakeholders.

d) Protect the charity’s assets and ensure funds are used solely for charitable purposes.

1.2 Accounting Records

DNC will maintain proper accounting records including:
• A cashbook and accounting records for all income and expenditure.
• Bank reconciliation records.
• Payroll and HMRC records where applicable.
• Grant and funding records.
• Supporting invoices, receipts, and payment authorisations.
• Digital accounting records stored securely.

As DNC operates primarily through electronic banking, the charity will not maintain cheque books or process cheque payments.

1.3 Financial Year

The financial year of DNC shall run from 1 October to 30 September annually.

1.4 Annual Accounts

Annual accounts will be prepared within three months of the financial year end and presented to trustees and members at the Annual General Meeting (AGM).

1.5 Budget Approval

Before the start of each financial year, trustees will approve an annual budget outlining expected income and expenditure.

1.6 Financial Monitoring

A financial report comparing actual income and expenditure against budget will be presented to trustees at least quarterly.

1.7 Independent Examination

The AGM will appoint an appropriately qualified independent examiner or auditor, depending on legal requirements and charity income thresholds.

2. Banking Arrangements

2.1 Bank Accounts

DNC will maintain its bank account with Barclays Bank UK PLC.
Account Name: Dartford Nepalese Community.

Trustees must approve all bank accounts and any changes to banking arrangements.

2.2 Authorised Signatories

The trustees will approve and minute all authorised bank signatories and online banking users.

There must be a minimum of two unrelated authorised individuals overseeing financial transactions.

2.3 Bank Reconciliations

Bank statements will be reviewed and reconciled monthly by the Treasurer or designated finance officer.

A trustee who is not responsible for day-to-day bookkeeping will periodically review reconciliations.

2.4 Loans and Credit

DNC will not:
• Take out loans,
• Use overdraft facilities,
• Open additional accounts,
• Enter into credit agreements,

without prior trustee approval recorded in meeting minutes.

3. Income and Receipts

3.1 Recording Income

All income received by DNC, including donations, grants, fundraising proceeds, and membership income, must be recorded promptly and accurately.

3.2 Banking Income

Funds received should be deposited into the charity’s bank account as soon as reasonably practicable.

Cash handling should be minimised wherever possible.

3.3 Donations and Grant Funding

The trustees will ensure that funding sources align with the charity’s objectives and legal obligations.

Where required, donor conditions and grant restrictions will be documented and monitored.

4. Payments and Expenditure

4.1 Bank Transfer Policy

DNC operates a bank transfer only payment system.

The charity does not issue or accept cheque payments.

All payments must be made electronically through authorised bank transfer methods.

No cheque books will be maintained by the charity.

4.2 Payment Authorisation

All expenditure must:
• Support the charitable objectives of DNC,
• Be properly authorised,
• Be supported by appropriate documentation.

Payments above thresholds set by trustees may require dual approval.

4.3 Online Banking Controls

Online banking access will be restricted to authorised individuals approved by trustees.

The following controls will apply:
• Secure passwords must be maintained.
• Passwords must not be shared.
• Dual authorisation should be used where available.
• Banking access must be removed immediately when an authorised person leaves their role.

4.4 Supporting Documentation

No payment will be made without supporting evidence such as:
• Original invoice,
• Receipt,
• Grant agreement,
• Approved expense claim,
• Payroll record.

Electronic copies are acceptable where original digital invoices are issued.