Revision by System

- "body": "[{\"type\": \"paragraph\", \"value\": \"<p>A <em><strong>budget</strong></em> is a plan of expenditures and\\r\\nrevenues for the year. It is not a request for <a href=\\\"funding\\\"\\r\\nclass=\\\"wikilink\\\" title=\\\"funding\\\">funding</a> \\u2013 it is a forecast of where\\r\\nmoney is coming from and where it is leaving. A budget should be as\\r\\naccurate as possible, and should be binding (unless something unexpected\\r\\ncomes up \\u2013 in that case you must get the appropriate approvals to\\r\\ndeviate from the budget). <strong>There should be some flexibility built\\r\\ninto budgets to avoid overspending.</strong> Note the difference between\\r\\na <a href=\\\"budget\\\" class=\\\"wikilink\\\" title=\\\"budget\\\">budget</a>, <a\\r\\nhref=\\\"Internal_record\\\" class=\\\"wikilink\\\" title=\\\"Internal record\\\">Internal\\r\\nrecords</a>, and the <a href=\\\"EUS_record\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"EUS record\\\">EUS records</a>.</p>\\r\\n<h2 id=\\\"how_to_budget\\\">How to Budget</h2>\\r\\n<ul>\\r\\n<li>Always budget conservatively.</li>\\r\\n</ul>\\r\\n<p>:*You should slightly overestimate expenses and slightly\\r\\nunderestimate revenues.</p>\\r\\n<p>:*When it comes to revenues, like sponsorship, which you have not\\r\\nreceived in the past, or fundraisers that you have never done before,\\r\\nunderestimate incomes significantly. <em>Remember, always think \\u201cworst\\r\\ncase scenario;\\u201d underestimate attendees, sales, and so on.</em></p>\\r\\n<ul>\\r\\n<li>Use enough budget categories that you have a meaningful picture of\\r\\nwhere money goes and where you might be able to cut costs.</li>\\r\\n<li>You don\\u2019t need to budget down to the penny though, because you need\\r\\nsome flexibility</li>\\r\\n<li>Budget slightly higher on individual items than you expect, but not\\r\\ntoo much higher, especially on large items.</li>\\r\\n</ul>\\r\\n<p>:*<em>If you expect to spend $16 on a power bar, budget for\\r\\n$20.</em></p>\\r\\n<p>:*<em>For a larger expense, like $2000 on a dinner, don\\u2019t budget more\\r\\nthan say $2100</em></p>\\r\\n<p>:*If you are unsure, talk with the <a href=\\\"VP_Finance\\\"\\r\\nclass=\\\"wikilink\\\" title=\\\"VP Finance\\\">VP Finance</a>. <strong><em>If you\\r\\nare part of a very large group where unexpected expenses are likely, add\\r\\na small contingency of 5%</em></strong>, and discuss the budget with the\\r\\n<a href=\\\"VP_Finance\\\" class=\\\"wikilink\\\" title=\\\"VP Finance\\\">VP Finance</a>\\r\\nor the EUS <a href=\\\"Finance_Director\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"Finance Director\\\">Finance Director</a>.</p>\\r\\n<h2 id=\\\"taxes\\\">Taxes</h2>\\r\\n<h3 id=\\\"revenues_and_expenses\\\">Revenues and Expenses</h3>\\r\\n<p><strong><em>Always budget pre-tax for expenses and post-tax for\\r\\nrevenues.</em></strong> This is not because the government is\\r\\nnecessarily giving the tax back to the EUS, but because we must track\\r\\ntax separately in a tax account, since we need to remit money to the\\r\\ngovernment if we collected more sales tax than we spent. So in effect we\\r\\nare subsidizing all our groups for the sake of making accounting easier.\\r\\n<tab name=\\\"Budgeting for Tax Example\\\" collapsed=\\\"\\\"></p>\\r\\n<dl>\\r\\n<dt></dt>\\r\\n<dd>\\r\\n<em>You\\u2019re collecting money for your department\\u2019s clothing sale. You get\\r\\nthe invoice for pre-tax amount of $1,000. Since the EUS budgets expenses\\r\\npre-tax, $1,000 will be the amount the department is charged. The <a\\r\\nhref=\\\"financial_officer\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"financial officer\\\">financial officer</a> collects $1,000 and\\r\\ndeposits it. The $1,000 deposited includes sales tax (your Gross\\r\\nRevenue). Tax, i.e. 14.975% (5% GST + 9.975% QST), is deducted from all\\r\\nRevenues.</em>\\r\\n<ul>\\r\\n<li>$43.49 is taken off and put into the GST tax, $86.76 is taken off\\r\\nand put into the QST tax account, for a total of $130.25 being\\r\\nremitted.</li>\\r\\n<li>What\\u2019s left is the post-tax revenue amount of $869.75 (your Net\\r\\nRevenue) to be deposited into your EUS account.</li>\\r\\n</ul>\\r\\n</dd>\\r\\n<dd>\\r\\n<strong><em>The department just lost $130.25 because they budgeted their\\r\\ntaxes wrong on the collected revenue.</em></strong>\\r\\n</dd>\\r\\n</dl>\\r\\n<hr />\\r\\n<dl>\\r\\n<dt></dt>\\r\\n<dd>\\r\\nIn order for the department to break-even, it would have needed to\\r\\ncollect 14.975% more. Therefore, the VP Finance should have collected\\r\\n$1,149.75 because a GST amount of $50 and QST amount of $99.75 would be\\r\\ntaken off the deposit and a total of $1,000 would be left to break-even.\\r\\n</dd>\\r\\n</dl>\\r\\n<p></tab></p>\\r\\n<h3 id=\\\"food_and_entertainment_exception_50_tax_rule\\\">Food and\\r\\nEntertainment Exception (50% tax\\r\\nrule)<span id=\\\"50% Tax Rule\\\"></span><span id=\\\"Food and Entertainment Exception\\\"></span></h3>\\r\\n<p>When <a href=\\\"EUS_Groups\\\" class=\\\"wikilink\\\" title=\\\"a group\\\">a\\r\\ngroup</a> is providing <strong><em>free</em></strong> food /\\r\\nentertainment (restaurants, hotels, beer, pizza, etc.), there is an\\r\\nexception to the pre-tax rule (<a href=\\\"Budget#Revenues_and_Expenses\\\"\\r\\nclass=\\\"wikilink\\\" title=\\\"see above\\\">see above</a>. In these cases,\\r\\n<em>50% of the total tax amount will be charged as well</em>. You still\\r\\nfill out the <a href=\\\"cheque_req\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"cheque req\\\">cheque req</a> normally, with the pre-tax amount\\r\\nwritten, but the amount you will see in your accounts will be the\\r\\naverage between the pre- and post-tax amounts.</p>\\r\\n<ul>\\r\\n<li><em>The very important distinction is that this is only for FREE\\r\\nfood or entertainment. It only applies to <strong>completely free\\r\\nevents</strong></em></li>\\r\\n<li>If there was a fee for your event that involved food and\\r\\nentertainment (such as a <a href=\\\"banquet\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"banquet\\\">banquet</a>), you should indicate on the <a\\r\\nhref=\\\"cheque_req\\\" class=\\\"wikilink\\\" title=\\\"cheque req\\\">cheque req</a>\\r\\nthat tickets were sold or that the participants somehow paid a fee for\\r\\nthe event.</li>\\r\\n</ul>\\r\\n<p><tab name=\\\"50% Tax Rule Example\\\" collapsed=\\\"\\\"><em>If students paid\\r\\nfees to participate in <a href=\\\"MEC\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"MEC\\\">MEC</a>, then food served during the event would be charged\\r\\nall pre-tax. You just need to indicate that there was a fee associated\\r\\nto the expense, and our <a href=\\\"bookkeeper\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"bookkeeper\\\">bookkeeper</a> will charge you the pre-tax amount.\\r\\nThis is why <a href=\\\"Blues_Pub\\\" class=\\\"wikilink\\\" title=\\\"Blues Pub\\\">Blues\\r\\nPub</a> beer, <a href=\\\"banquet\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"banquet\\\">banquets</a>, and most big events don\\u2019t need to worry\\r\\nabout the 50% rule.</em></p>\\r\\n<hr />\\r\\n<p><em>If a wine and cheese is being provided for free, unrelated to any\\r\\npaid event, the expenses would only save 50% tax.</em> </tab></p>\\r\\n<h3 id=\\\"sponsorship_and_donations\\\">Sponsorship and Donations</h3>\\r\\n<p>Revenues that fall under the category of a \\u201cdonation\\u201d are exempt from\\r\\nsales tax. <a href=\\\"Funding\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"Funding\\\">Funding</a> from the EUS, <a href=\\\"MESC\\\"\\r\\nclass=\\\"wikilink\\\" title=\\\"MESC\\\">MESC</a>, the departments, <a href=\\\"SSMU\\\"\\r\\nclass=\\\"wikilink\\\" title=\\\"SSMU\\\">SSMU</a>, and some sponsors <strong>are\\r\\nnot taxed</strong>. *<em>Whether sponsorship is taxed is sometimes hard\\r\\nto determine, and you should always ask the <a href=\\\"VP_Finance\\\"\\r\\nclass=\\\"wikilink\\\" title=\\\"VP Finance\\\">VP Finance</a> if you are not\\r\\nsure.</em> <tab name=\\\"Taxable Sponsorship Example\\\" collapsed=\\\"\\\"></p>\\r\\n<dl>\\r\\n<dt>Taxable</dt>\\r\\n<dd>\\r\\n<ul>\\r\\n<li>Any service being rendered to the sponsor (e.g. ticket booth; space\\r\\nfor them to solicit patrons, whether it's directly for sales or not;\\r\\nluncheons/ conferences/ presentations). Essentially, anything that gives\\r\\nthe sponsor face time.</li>\\r\\n<li>Advertisements in regular publications (Ledger, Faucet, Yearbook,\\r\\nHandbook, Pipeline, Station; NOT the O-Week handbook, MEC competitors\\r\\npackage, etc)</li>\\r\\n</ul>\\r\\n</dd>\\r\\n</dl>\\r\\n<dl>\\r\\n<dt>Non-taxable</dt>\\r\\n<dd>\\r\\n<ul>\\r\\n<li>Logos on mostly anything</li>\\r\\n<li>In-kind donations (like food or supplies)</li>\\r\\n</ul>\\r\\n</dd>\\r\\n</dl>\\r\\n<p></tab></p>\\r\\n<h3 id=\\\"out_of_province\\\">Out of Province</h3>\\r\\n<p>Expenses made out of province are charged at the total price of their\\r\\npurchase, as we cannot claim sales tax from outside of Quebec, except\\r\\nfor GST where GST is listed separately on the receipt.</p>\\r\\n<ul>\\r\\n<li><em>If you do not submit a proper receipt with GST and HST sales tax\\r\\nnumbers, we will charge the total amount to your account</em></li>\\r\\n</ul>\\r\\n<h3 id=\\\"international_expenses\\\">International expenses</h3>\\r\\n<p>If team members are paying fees to offset expenses for a trip outside\\r\\nof Canada, you do not need to budget for losing the sales tax from those\\r\\nfees. If you did, then it would have been cheaper to receive cash from\\r\\nthose students and spend it directly in the US, where you have to budget\\r\\npost-tax since <strong><em>EUS cannot claim US sales tax\\r\\nback</em></strong>.</p>\\r\\n<ul>\\r\\n<li><em>When you are depositing funds that are specifically to offset\\r\\nexpenses incurred from US purchases, you should clearly indicate on the\\r\\ndeposit slip, \\u201cTo offset expenses in USA \\u2013 do not remit sales\\r\\ntax\\u201d.</em></li>\\r\\n</ul>\\r\\n<h2 id=\\\"requirements\\\">Requirements</h2>\\r\\n<h3 id=\\\"committees\\\"><a href=\\\"Committees\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"Committees\\\">Committees</a></h3>\\r\\n<p>As an EUS <a href=\\\"Committee\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"Committee\\\">Committee</a> or <a href=\\\"Services\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"Service\\\">Service</a>, you are required to request a budget from\\r\\nthe EUS. This budget will be reviewed and approved by the <a\\r\\nhref=\\\"Board_of_Governors\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"Board of Governors\\\">Board of Governors</a> , and it will\\r\\nsubsequently be presented to <a href=\\\"EUS_Council\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"EUS Council\\\">EUS Council</a>. The <a href=\\\"VP_Finance\\\"\\r\\nclass=\\\"wikilink\\\" title=\\\"VP Finance\\\">VP Finance</a> or <a\\r\\nhref=\\\"Finance_Director\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"Finance Director\\\">Finance Director</a> will contact you when it\\r\\nis time to have your budget prepared.</p>\\r\\n<p>:;Pro Tips</p>\\r\\n<p>:*Follow deadlines, ask questions if you have them</p>\\r\\n<p>:*Review the previous year\\u2019s budget, and look at the <a\\r\\nhref=\\\"printouts\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"transactions in last year\\u2019s EUS accounts\\\">transactions in last\\r\\nyear\\u2019s EUS accounts</a> to see the actual expenditures and revenues.</p>\\r\\n<p>::*<em>It is possible that expenditures and revenues varied from what\\r\\nwas budgeted last year</em></p>\\r\\n<p>:*Talk to the VP Finance well in advance if you believe that total\\r\\nrevenues or expenses will be significantly different.</p>\\r\\n<p>:*Follow the <a href=\\\"Committee_Member_Spending_Guidelines\\\"\\r\\nclass=\\\"wikilink\\\" title=\\\"member spending guidelines\\\">member spending\\r\\nguidelines</a> when budgeting For some committees, it is acceptable to\\r\\nrun a budget deficit. The EUS is not-for-profit, and providing student\\r\\nservices through committees and other means is how we give back to\\r\\nstudents. That being said, we are not overflowing with money, and it is\\r\\nexpected that every committee does as much as possible to keep expenses\\r\\nreasonable and to seek revenues.</p>\\r\\n<h3 id=\\\"clubs_and_design_teams\\\"><a href=\\\"Clubs\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"Clubs\\\">Clubs</a> and <a href=\\\"Design_Teams\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"Design Teams\\\">Design Teams</a></h3>\\r\\n<p>Clubs and Design Teams are responsible for maintaining their own <a\\r\\nhref=\\\"internal_record\\\" class=\\\"wikilink\\\" title=\\\"internal record\\\">internal\\r\\nrecords</a>. They are not required to submit a budget to the EUS, except\\r\\nwhen applying for <a href=\\\"funding\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"funding\\\">funding</a> or when applying for club/design team status\\r\\nfor the first time. The EUS\\u2019s main requirement is that they do not spend\\r\\nmore than what is in their accounts. However, because they handle their\\r\\nbookkeeping through the EUS, they should liaise with the <a\\r\\nhref=\\\"VP_Finance\\\" class=\\\"wikilink\\\" title=\\\"VP Finance\\\">VP Finance</a> and\\r\\nmonitor their activity in the <a href=\\\"Printouts\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"EUS accounts\\\">EUS accounts</a> to ensure that their activity is\\r\\nbeing recorded properly.</p>\\r\\n<h3 id=\\\"departments\\\"><a href=\\\"Departments\\\" class=\\\"wikilink\\\"\\r\\ntitle=\\\"Departments\\\">Departments</a></h3>\\r\\n<p>Departments are similar to clubs and design teams in that they are\\r\\nnot required to submit a budget to the EUS (at least not normally), and\\r\\nare responsible for maintaining their own internal records.</p>\\r\\n<p>It should be noted though that departments are more \\u201cinternal\\u201d to the\\r\\nEUS than clubs and design teams, and the EUS <a href=\\\"VP_Finance\\\"\\r\\nclass=\\\"wikilink\\\" title=\\\"VP Finance\\\">VP Finance</a> may request any\\r\\ninformation from the departments provided that adequate notice is given\\r\\n(such as End-of-Year Financial Reports, or even End-of-Semester\\r\\nReports). The EUS has this power because departments are legally a part\\r\\nof the EUS, meaning that their finances are EUS finances. </p>\\r\\n\", \"id\": \"c853a179-6519-4384-bb49-e6b48f813046\"}]",

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