Key Financial Information for Slivka Exec

Purchasing

• Tax Exemption

• Northwestern is exempt from paying Illinois sales tax, so purchases cannot contain Illinois sales tax
• Present a “tax exempt form” (one-time use) upon purchase
• Should obtain a tax exempt form in advance from the treasurer, for each individual time you shop

• Request for Tax Exempt Form here
• Must provide the name of the person making the purchase, the date the purchase will be made, & the name of the vendor        
• Winter Quarter 2018: Request by 12:00 PM on Monday each week for upcoming purchases, and the treasurer should be able to give you your tax exempt form no later than the following morning; requests made after those times may not be able to be accommodated in time (but if you have an immediate need, feel free to request late just in case)

• Exceptions

• You can be reimbursed for the tax from dine-in purchases or from a state outside of Illinois (*online orders delivered to Illinois do NOT count as an exception), but it costs Slivka money so it’s best to still use a tax exempt form

• Additional notes regarding tax exemption

• It is your responsibility to communicate with the vendor before making the purchase to ensure that Illinois sales tax will not be applied to the order
• Some vendors may only accept a Northwestern form of payment for the tax exempt form to apply, so you will need to use the Slivka debit card in those (rare) cases
• A few vendors such as Sam’s Club, Costco, and Home Depot may not accept one-time use tax exempt letters at all (*and we are not allowed to set up a tax exempt business account with them)

• The University cannot currently do anything about this problem with wholesale clubs like Sam’s Club and Costco - these types of stores refuse to honor Northwestern’s one-time use tax exemption - so the University discourages buying from them
• But the University may be able to help us make purchases from Home Depot using the finance office’s “procurement card”

• Submission of a hard-copy tax exempt form is obviously complicated when making purchases online, so make sure to work out the details with the vendor

• For example, you may be required to give them the tax exempt form in person, scan the tax exempt form over to them, or ask me to have Northwestern submit the official NU tax exemption certificate to them
• Some vendors may require you to obtain special approval beforehand to deduct the tax, and may not reimburse any paid tax later on
• If an online Amazon purchase will be charged tax, the finance office can purchase it for you, tax-free (details on this procedure can be found in the online purchasing section of this document)

• If you do end up with a receipt with sales tax, you may be able to retroactively present a tax exempt form and request for the vendor to give you a tax refund, but this process can often be difficult and the tax refund is not guaranteed to be accommodated by the vendor

• Receipt Requirements

• Receipts MUST have…

• An itemized listing of the items purchased

• i.e., each individual item, unit price, quantity sold

• Date of purchase
• Vendor name/address/phone number
• Method of payment

• e.g., cash, credit/debit card with the last four digits of the card number

• Proof of payment (show that it was “paid in full” or a zero balance due)

• Note: This often entails an approved credit card transaction showing the last digits of the card number, for example, as well as an indication that the item was shipped and the order has been fully completed

• Order confirmations from before the order was delivered/shipped/completed generally do not count

• If you end up with a receipt missing proof of payment, you can provide a screenshot of your credit card activity as a supplement to your receipt (feel free to black out all the irrelevant credit card information - other than the name of the person, the name of the bank, the line containing the transaction in question, and proof that it was processed and does not just say “pending”)

• Evidence of tax exemption (or tax cost explicitly distinguished on receipt)
• All receipts must be originals
• If a vendor gives you a receipt that does not fulfill these requirements, you should request that they customize the receipt for you, and if any of the additional documentation is handwritten, the manager should sign it as well and indicate his/her position

• Or, the vendor can create an acceptable receipt on their letterhead stationery, bearing the signature and title of the manager

• Without proper documentation, there is a chance that receipts may not be accepted, thus becoming your personal responsibility to cover

• Receipts must NOT have…

• Illinois sales tax
• Excessive tip (more than 20%)
• Personal purchases

• Especially if you are using a tax exempt form, make sure you are not using it to make any personal purchases on the receipt

• Alcohol or tobacco (or alcohol/tobacco-related items), or weapons
• If a submitted receipt does contain payment for any of the aforementioned unauthorized items…

• The treasurer will just subtract that off from your reimbursement, since you cannot reimbursed for them
• Or, if the payment was made using Slivka money directly (e.g. debit card), you must reimburse the cost of the unauthorized items to Slivka

• The money must be provided to the treasurer ASAP so that they can reimburse it back into the Slivka account within 15 days of the transaction
• Money can be as cash, or as a check written out to “Northwestern University” with “Slivka” somewhere on the memo line

• On the back of the receipt, write:

• The name of the person to be reimbursed, in the way you want it to appear on the reimbursement (or write “debit card” along with your name if you used the debit card)

• Note: The name of the person to be reimbursed must be the same as the name listed as being billed (usually shown under “billing address,” or the name shown on the credit card statement, etc.), if applicable

• What the purchase was for (e.g. what was purchased and for what event)

• If the purchase on any single receipt was made using money from different categories or sections of the budget, the treasurer would appreciate it if you could separate out those purchases by also writing the budget breakdown on the back of the receipt

• Make every effort to turn in receipts to the treasurer within at most two weeks of the purchase (preferably in no more than one week of the purchase)

• Reimbursements cannot be made if the purchase was made more than 85 days before the treasurer’s submission of the receipt to the finance office

• Expectations for reimbursement

• Two types:

• Petty Cash: less than $30, reimbursement in the form of cash, quicker turnaround
• Reimbursement: $30 or more, reimbursement in the form of a check, takes longer

• The treasurer will add up the amounts from all receipts you’ve given them within the current reimbursement cycle and include the sum all on one check, unless you ask otherwise
• If you would like for your check to be mailed, include your mailing address on the back of the receipt
• You must cash/deposit your reimbursement check within 90 days of the date of issue from the finance office

• However, even if the check has gone stale, you can still give it back to the treasurer to have it re-issued

• If you lose your check, you can ask for a new one, but be aware that it will cost you $30

• Make copies of receipts, etc. before giving them to the treasurer, if you would like them, as we will not get the documentation back from the finance office

• Making Online Purchases

• Exercise caution, because reimbursements cannot be made for losses due to online misrepresentation or fraud by a vendor
• Make sure to verify with the vendor that you will receive a proper receipt
• Print out your receipt, or email it to the treasurer (preferably in a printable format like a pdf file attachment if possible)

• As always, remember to convey to the treasurer what your purchase was for

• Amazon purchases

• Order receipts must say “shipped” at the top (which shows proof of payment and completion of the order) - as opposed to “not yet shipped” or “shipping now”
• Some Amazon items are evidently not charged sales tax, but if you want to make an Amazon purchase that does show that sales tax will be applied...

• To avoid having to pay the sales tax, the following three steps must be completed:
• 1.  Give the treasurer a copy of the desired purchase (an Amazon wishlist, screenshot, etc.), preferably printed

• If you email, please send the file in an easily printable format

• 2.  Include the following information along with your wishlist/screenshot (can be written directly on the page):

• The quantity you would like of your item
• Your name and phone number
• Your shipping address

• Must be an NU address - package to Slivka through Kemper should work, but not an off-campus address

• 3.  Send the treasurer an email with the link to the item / your wishlist
• The finance office will purchase the item for us
• Note: Processing time will be longer, as the order must be signed by Liz and Rachana before it can be given to the finance office and purchased

• The Slivka Debit Card

• The debit card is an alternative to using personal funds and later getting reimbursed
• Requesting to use the debit card

• Obtain the debit card from Liz, ideally at the exec meeting before the time you need it
• You need to sign a debit card use agreement form the first time you use the card
• Also, for every purchase, you need to ask the treasurer in advance to approve your purchase and submit her authorization for you to use the debit card

• Send the treasurer an email with the following information:

• Who is using the debit card?
• When will you be using the debit card?

• Period of no more than 7 days

• In general, what will you be purchasing?

• E.g. food, supplies, transportation
• Must be consumable items, not big-ticket capital purchases or people’s services

• What event is the purchase for?

• You must adhere to the particulars of the information you provided that the treasurer authorized (i.e., your authorization to use the debit card is only valid under those conditions)

• Ask in advance to make sure there is enough money on the card if you are thinking about making a slightly larger purchase

• FYI: Our exec board has currently voted to reload the debit card to $1500

• Using the card

• Swipe as a credit card, not a debit card (we do not have a PIN number)
• May occasionally need to provide the zip code associated with the debit card: 60208 (zip code of Norris)

• Receipts

• Please write “debit card” on the back of the receipt along with your name to make sure that the treasurer remembers that you used the debit card
• Turn in receipts from purchases using the debit card ASAP so that the treasurer can reconcile the debit card (usually at the end of the month)
• Reminder: Receipts cannot include Illinois sales tax or other unauthorized purchases

• Return the debit card to Liz by the following exec meeting
• The debit card can be used for online purchases as well - similar procedure applies

• Check Advances

• Another way to use Slivka money directly (instead of using personal funds), but it is not the preferred method of payment since the money will be in the form of uninsured cash which is lent out to us at our own risk

• In most cases, unless a vendor does not accept a debit card and you need cash, you should be able to just use the Slivka debit card instead

• Email the treasurer with an estimate of the amount you need, what the money is for, and the date you will need the money (well in advance)

• If you end up needing more money, you can personally pay for the remainder and the treasurer can reimburse you for that amount as usual
• If you don’t use all of the money the treasurer gave you from the check advance, just give the leftover money back to the treasurer

• All usual policies still apply (give the treasurer the receipt, no sales tax, etc.)

• Purchasing through “NU Financials”

• When buying from specific Northwestern organizations (e.g. Motor Pool, Sodexo/NU Catering, Norris Outdoors, ARTica Studios, University buses, other NU organizations like for the NU Homecoming Parade fee), they can charge directly to our Slivka account through a system called NU Financials
• The treasurer should know about and need to authorize these purchases in order for you to be able to make them (she will provide you with the necessary “chartstring number”)

• Transfers

• If you would like to make a payment to another Northwestern student group with an account at the finance office, they can be paid via a transfer between accounts
• Transfers may also be useful when trying to split payment with another residential college, for example

• Co-sponsored events should ideally involve a written agreement with the other organization involved

• Email the treasurer with the amount of money you would like to transfer, the name of the receiving organization, and the reason for the transfer

• Direct Check Payments to Vendors

• The finance office can write out a check directly to a vendor/individual in order to pay for goods/services (e.g. t-shirts)
• Provide the treasurer with the invoice or contract, and typically also with the mailing address of the vendor so that the check can be mailed
• A similar payment alternative: the “purchase order” (ask the treasurer if a vendor requires this)

• Contracts

• A contract is required for any events that involve the services of an individual or entity outside of Northwestern

• E.g. contracts for Formal (venue, DJ, catering, photographer), and even for guest speakers not being compensated
• Talk to the treasurer and assistant chair first, very far in advance, if you are thinking about planning something like this

• Never sign a contract - you should be working with the treasurer and the assistant chair to get the contract signed by the University
• Payment for contracted services

• Never use personal funds to pay for contracted services
• Talk to the treasurer about payment options that fulfill the vendor’s specifications
• When paying individuals for providing services, it is always required to pay through a check requested directly from the finance office (procedure above)

• The individual being paid also needs to submit a W-9 dated within the current calendar year

• The individual’s name on their W-9 and the contract should match
• If the individual is an NU employee: Don’t need a contract, but will need the employee’s ID number and employment payment type (full time/part time/temporary) along with their W-9

• Transportation

• Northwestern’s Motor Pool should be used for vehicle transportation

• If you want to use Motor Pool, make sure you are informed about those policies and that you leave enough time for all associated planning and processing time

• Also, just so you know - we currently have one Ventra card for the El (ask the treasurer); you can easily purchase more if you need to

• FYI: Can load funds and use a single Ventra card for up to 7 people at a time

• Other Policies

• Cannot purchase gift cards
• Cannot be reimbursed when using Wildcat points and equivalency meals (or CatCash probably)

• Note: Purchases paid with cash/credit at Northwestern stores are charged tax, so you will need to request a tax exempt form

• Although there seem to be no clear policies about this yet, we may be prohibited from having store memberships; to be on the safe side, the treasurer would generally recommend not using a membership card at any stores (especially since the ethics get confusing when the purchaser would receive personal benefits/rewards for making purchases on behalf of Northwestern, or when the making of a purchase for Northwestern would in some way allow for the reaching of an accomplishment that would normally be forfeited if not completed in time...)
• Can refer to the SOFO Policies and Procedures for further detail and other policies (or just ask the treasurer)

• You are responsible for following all the policies in that official handbook, so it wouldn’t hurt to read it; but it is long, so this Key Financial Information document is a pretty comprehensive summary which encompasses virtually all of the policies you are likely to need to encounter

Miscellaneous Notes

• Remember to use the Wildcard Advantage for select businesses in order to receive the Wildcard discount
• Committee members (or anyone else, as appropriate) may make purchases if you are not available, but make sure your purchasing representative is familiar with both the budget and the process for making purchases

• You are responsible if your purchasing representative fails to follow the financial policies/requirements because they were not properly informed
• So please share all the relevant financial information with your purchasing representatives!
• It is recommended that you also communicate with your purchasing representatives that they will be held responsible if they fail to comply with the policies you have conveyed to them

• Purchases planned to be from your “Miscellaneous” section of the budget should be approved in advance by the treasurer (email the treasurer with the details)
• Large unplanned purchases (over $100 in any category of the budget) should be brought up during an exec meeting
• Remember to be monitoring your budget, which is updated on an approximately weekly basis based on receipts received at that time
• If you wish to make purchases before the quarterly budget is officially approved so that your order is ready in time for an event at the beginning of the quarter, let the treasurer know what you’d like to order and they will individually approve it or bring it up to the rest of the exec board as appropriate

Financial Ethics:

• Spend wisely and responsibly, and always keep in mind the way people want the money to be spent

• For bigger events/purchases, sending out interest forms can be a good way to gauge what it is that people want money to be spent on, especially in comparison with any alternative spending ideas; and for all spending plans in general, be sure to first consult with your committee to at least get some idea of anticipated interest and support

• Make every attempt to spend only for the current quarter - that is, avoid buying massive quantities of consumable items for the purposes of use in future quarters/years
• Check the DR closet before buying anything to see if we already have it
• Consider the number of people that can benefit from your spending, as compared to the amount of money spent

• Want a good use of money that provides benefit to the most students - don’t spend a disproportionate amount of your budget on an event that only a few people can attend

• Must be fair and inclusive to all Slivkans (e.g. no committee-only food parties)
• Leftovers should also be distributed fairly and made available to all Slivkans (or, where appropriate, stored in the DR closet for future Slivka events)
• These general pointers are not exhaustive, so always keep in mind your own sense of ethics and what is best for Slivka
• Note that purchase approval is not guaranteed; completed transactions that are determined by consensus to be obviously unreasonable/unethical or that are made well outside of the approved budget may potentially not be accepted, thus becoming your personal responsibility to cover
• So be sure to bring it up with the treasurer/exec in advance if you are unsure about a question of ethics

A Final Note from the Treasurer: 

Exec meetings are a good time to give me receipts, but you are free to give them to me at another time or slide them under my door (Room 359). In addition, please communicate with me if you have any individual requests or preferences (e.g. how you want to receive your reimbursements/tax exempt forms). Finally, be sure to email/talk to me if you have any questions, if you are figuring out payment for bigger events, or if you are trying to make purchases through a unique process or that require a unique form of payment!

Contact Information: 

For general questions:

• Email the treasurer at RyanFranks2019@u.northwestern.edu

For immediate needs/issues/emergencies:

• Call or text the treasurer’s cell phone at 847-275-6138
• Try contacting other exec members who might be able to help
• Have someone see if the treasurer is in their room (Room 224)
• Contact Liz by email or phone at 734-649-9548
• For financial policy or procedure questions, you can also contact the Northwestern finance office at (847) 491-2328 during business hours (Monday to Friday, 9 AM to 4 PM)

*Executive board members must sign the “Executive Board Financial Agreement” to acknowledge your understanding of this financial information document.