KEY FINANCIAL PROCESSES

Whether you're spending money or recording income, all financial activity must be processed through the Union's approved systems. This helps us meet our financial responsibilities, comply with charity law, and protect both your group and the Union.

Below, you'll find the different ways your group can spend money and record income, along with guidance on when to use each process.

EXPENDITURE:

Claims: 

A claim allows a member to be reimbursed for approved expenditure they have paid for personally. Claims are best suited to small, one-off purchases where it is not practical to obtain an invoice in advance.  For purchases over £50, we'd recommend you consider using another payment method where possible.
Only expenditure that supports the Union's charitable objectives can be reimbursed. If the claim relates to an event, you should have an approved event budget, and you must be able to provide the required receipts and evidence.
If you're unsure whether an expense is eligible, check the Student Group Funding Policy or contact the Finance Team before spending your own money. We cannot reimburse Claims where the payment has been made in cash.

Example: You buy up to £45 on refreshments for an event with an approved budget that includes up to £50 to spend on food and drink from a local supermarket that cannot provide an invoice. You pay with your debit card, keep the receipt and submit a claim to be reimbursed.

View the step-by-step guidance in eActivities here:  Claims | eActivities 

Purchase Orders:

A purchase order (PO) is the Union's preferred way of paying suppliers  for purchases over £250, although it can be used for any approved purchase over £5.
A PO is a formal commitment to pay a supplier, so it should only be raised once the purchase has been approved and your group has sufficient funds available.

Example: Your group has an approved event budget and proposal to hire an external venue costing £1,000. The venue sends an invoice to you, and you raise a purchase order so the Union can pay the supplier directly from your group's account.

View the step-by-step guidance in eActivities here: Purchase Orders | eActivities

Union Credit Card:

The Union credit card can be used when a supplier does not accept invoices or purchase orders. Wherever possible, use the Union credit card instead of making a personal claim for purchases over £50. If the payment relates to an event or activity, you should have an approved event budget before requesting the card.

Example: Often it's not possible to obtain an invoice for purchases such as flights, Airbnb bookings or hotels.  Your group has received grant funding for an overnight stay for a BUCS competition. The cheapest accommodation is an Airbnb, which requires payment by credit card, so you request to use the Union credit card instead of paying personally as the Claim value would be over £50.

View the step-by-step guidance in eActivities here: Paying by Union Credit Card | eActivities 

International Payments

International payments are used to pay a supplier or organisation outside the UK, for example for overseas events, accommodation or equipment. They follow a similar process to a purchase order but require additional information and may take longer to process, so allow sufficient time. Wherever possible, overseas suppliers should be paid directly by the Union rather than by a member claiming reimbursement, as this avoids large personal expenses, exchange rate fluctuations and international transaction fees.

Example: Your group is renting some music for a show you're putting on. The only publisher is in the United States, so you make an international payment. 

View the step-by-step guidance in eActivities here: Paying by Union Credit Card | eActivities 

Charitable donations

If your group has raised funds for a registered charity, donations should be made through the Union using your group's account. Donations can be made for any value over £5, whether the funds were collected through cash buckets, PDQs or online shop products. Any fundraising activity should clearly explain to those donating how much will be donated and to which charity.

Example: Your group sells merchandise and advertises that 10% of the profits will be donated to charity. Once sales have finished, you calculate the donation amount and submit a charitable donation request through eActivities.

View the step-by-step guidance in eActivities here: Charitable Donations | eActivities 

INCOME: 

Baking Records:

A banking record is used to record income received directly into your CSP account where no purchase order or invoice has been raised. It provides evidence of where the money came from and ensures the income is allocated to the correct group account. Banking records can be used for income received through bank transfers, card machine payments, cash or cheques.

Example: Your group runs a charity bake sale and receives £150 in cash and card payments. You submit a banking record with details of the event and evidence of the money received, so the income can be added to your CSP account.

Donations:

As a registered charity, Imperial College Union can accept gifts and donations to support the development of your group. Donations must be made through the Union and cannot be paid into personal bank accounts. They must also be genuine gifts, with no expectation of a benefit, service or advantage being provided to the donor in return.

Example: A former student wants to donate £500 to support your group. They do not request anything in return and are happy to provide the information needed for the Union to process the donation.

View the step-by-step guidance in eActivities here: Donations | eActivities

Shop Products:

Shop products are used to collect payments from members or participants for events, activities, memberships or merchandise. They allow income to be collected through the Union’s payment systems rather than through personal accounts or informal payment methods.

Example: Your society is selling hoodies for members. You create a shop product so students can pay securely through the Union system, and the income is recorded against your CSP account.

View the step-by-step guidance in eActivities here: Online Sales | eActivities 

TRANSFERS:

Internal Charges/ Transfers

Internal charges/transfers are used to move funds between Union accounts, such as when one Club or Society needs to reimburse another group to or pay for goods and services provided internally. They should be used instead of claims or purchase orders where no external supplier is involved.

Example: Your Group is collaborating with another Group on an event at an external venue and pays the venue cost in full upfront, although your agreed share is 50% of the cost. After the event, the other Group transfers their agreed 50% share of the cost to by raising an Internal Charge.

View the step-by-step guidance in eActivities here: Internal Charges | eActivities 

Transaction Corrections:

Transaction corrections are used to move expenditure between your group's funding codes when a cost has been charged to the wrong account. They should only be used to correct coding errors and ensure costs are recorded against the appropriate source of funding.

Example: You paid your Coach from your SGI account instead of your Grant account, leaving grant funding unspent. You submit a transaction correction to move the cost to the correct funding code

View the step-by-step guidance in eActivities here:  Transaction Corrections | eActivities 

Still have questions? Check out the rest of our knowledge base articles or  submit a ticket to the Activities Team.