Aims and Objectives of the Session
Aims
Helps Head Teacher to be efficient and effective
in managing Financial matters.
Help Head Teacher to understand Govt. rules
and regulations on financial matters.
OBJECTIVES
To understand the source of funds available in
school and their utilization under rule.
To understand the importance of Cash Book
and its maintenance.
HOW TO DEVELOP CASH
FLOW SYSTEM IN
SCHOOL
SOURCES OF FUNDS
At present, school receives funds from
two sources.
Governmental Source.( Budget )
Non-Governmental Source.
The government source include
funding by Provincial and local Govt.
NSB(Non Salary Budget) is a part of
Government Fund/Budget.
What is Cash Flow System?
A System which manage/control your
cash (Receipts/Payments) in such a
way that any concerned authority
(Auditor or Higher Administration)
when check your record always find
the high level of satisfaction.
What are Receipts and their types?
Receipt is a written acknowledgment that
something as money has been received.
Types:
1. Staff Salaries (If drawn by bill)
2. Contingencies (From DAO/AG)
3. Recovery if any
What are Payments & their Vouchers?
The act of paying money is called
payment.
All relevant documents of expenditures,
is called voucher.
Cash Book and its Maintenance
1. An accounting book which documents both
cash receipts and payments.
2. The head of department or DDO has
to maintain the cash book /register
daily/monthly to be checked by Audit
Authorities as and when required.
Cont…
What Precautions & Principles should be kept in
mind while maintaining the Cash Book?
1# The cash book should always be
maintained in the prescribed manner.
Note: Only those cheques will be entered , who will be issued
from A.G/DAO in favour of DDO.
2# Only one responsible person should be
entrusted for maintaining the cash
book.
3# All transactions should be properly and
quickly (on daily basis) entered in cash
book.
Cont…
4. Each entry should be made by the
person entrusted for maintaining the
cash book and initiated by the DDO.
5. Cash balance, if any should be
physically checked by the DDO and
placed in a safe place under lock and
key.
6. All entries should be supported by
receipts/vouchers.
Cont…
7. Cash book should be written on day
to day basis.
8. The DDO should also close the cash
book monthly and give a certificate
about its authenticity.
Describe the Statement of Certificate
about its authenticity of cash book at
the end of month closing.
In the Left side of cash book i.e
(Receipts side), the following
statement is written after closing the
cash book at the end day of month.
“Certified that the entries made on
receipts side of cash book have been
compared with the payment of
schedules issued by the AG
Punjab/DAO and found no
discrepancy”
Cont…
On the right side of cash book i.e
(payment side), the following
statement is written after closing the
cash book at the end of Month.
“Certified that Rs._______ has been
disbursed in my presence to
concerned and balance is Rs.______”
Important instructions to prevent fraudulent
withdrawals
1 # All changes in sanctioned strength of
should immediately be communicated to
AG/DAO.
2 # Schedule for B.Fund, G.Insurance, GP
Fund, Income Tax, and other deduction
should be personally checked by the DDO.
3 # Budget appropriation should be filled by
the DDO before signing the bill The balance
should be worked out in the Budget Control
Register.
4 # Before the cashier is authorized to draw
the money from the bank , the cheque
should be entered in the Cash Book.
5 # Bill total should be checked personally
by the DDO.
Cont…
6 # Claim should be supported by
necessary vouchers. Bill/Voucher should
be stamped Cancelled after payment to
avoid misuse.
7 # Claim of pay, T.A, Contingent and
other charges be submitted to AG/DAO,
after its attested entry in Token Register,
to prevent submission of bogus claim on
behalf of DDO.
8 # Prescribed periodical reconciliation
provides safeguard to the DDO against
misuse of Public money
embezzlements/frauds.
ILLUSTRATION
Mr. Khawar H/M Govt. H/S Nafeesabad received the following
amounts during November-2014.
Date Description
Received Salary Arrear bill Rs. 7500/-of Mr. Nazir ESE through Chq# 78009
05-11-2014 from A.G/DAO.
10-11-2014 Paid Salary Arrear bill Rs. 7500/-of Mr. Nazir ESE through Vide Chq # 005811
16-11-2014 Received Stationery Bill amount of Rs. 8500/- vide Chq# 78199 from A.G/DA.
19-11-2014 Paid to M/S Arshad Book Depot against stationery Bill Vide Chq # 005812 of
Rs. 8500/-
19-11-2014 Recovery of C.Allowance from Mr. Amjad SSE of Rs. 1800/-
20-11-2014 Deposited recovery of Rs.1800/- through Cahllan-32A in NBP.
30-11-2014 Received Furniture Bill amount of Rs.340,000 vide Chq# 78199 from
A.G/DAO.
Solution:
Cash Book
OFFICE OF THE Govt. H/S Nafeesabad
RECEIPTS FOR MONTH OF Nov-2014 PAYMENTS FOR THE MONTH OF Nov-
2014
Vou
Amount
Amount che (Rs.)
DATE PARTICULARS DATE PARTICULARS
(Rs.) r
NO.
05-11-14 Received Non Gazetted 7500- 10-11-14 Paid to Mr. Nazir ESE 7500-
Salary Arrear through 01 Teacher
Chq# 78009 Vide Chq # 005811
16-11-14 Received Stationery Bill 8500- 19-11-14 02 Paid to Arshad Book Depot 8500-
amount vide Chq# 78199 against stationery Bill Vide
Chq # 005812
19-11-14 Recovery from Mr. Amjad 1800- 20-11-14 03 Deposited recovery through 1800-
SSE (C.Allowance) Cahllan-32A in NBP
30-11-14 Received Furniture Bill 340,000- Total Payments: 17800-
amount vide Chq# 78199
Total receipts: 357,800-
SIGNATURE
SIGNATURE
“Certified that the entries made on receipts
side of cash book have been compared with “Certified that Rs.17,800/- has been
the payment of schedules issued by the AG disbursed in my presence to concerned and
Punjab/DAO and found no discrepancy” balance is Rs.340,000”
IMPORTANT MONTHLY STATEMNETS
REQUIRED BY DDO FROM AG/DAO
Schedule of Payment
This statement shows how many cheques issued in
favor of concerned office in a month.
Compilation Statement
This statement shows Head-wise expenditure of
concerned office. With the help of this statement
monthly expenditure statement is prepared
Master Pay Roll
This statement provides the information regarding
salaries issued through computerized way, and
transfer into staff’s personal accounts.
IMPORTANT STEPS TO BE
FOLLOWED WHILE PROCURE THE
ITEMS/PRODUCT
Availability of Budget.
Justified Demand .
Market Survey report/Estimate.
Quotation Call letter.
Sealed Quotation.
IMPORTANT STEPS TO BE
FOLLOWED WHILE PROCURE THE
ITEMS/PRODUCT
Comparative Statement.
Supply order.
Issuance of Quality and Quantity
Certificate.
Enter into Stock Register Permanent
Stock Register/Consumable Stock
Register)
