Financial Management |
How can business officers develop an optimal working relationship with their heads of school in order to better support their schools? Peter Christian, director of finance at Windward School, and Dean Quiambao, partner at the accounting firm Armanino LLP, outlined key tips in a webinar earlier this month. Christian began with a few general pointers:
The strategic budgeting process generally begins with the head of school and business officer, said Christian, then brings in the board president and treasurer, and finally involves the finance committee and larger board. A good relationship with the enrollment manager is key to understanding revenue that may be available to fund the budget, he advised. For most schools, tuition, enrollment, salaries and benefits are the primary budget levers that administrators can adjust to make ends meet.
While business officers are always working on two budgets at once — actual and proposed — the budgeting cycle typically begins in September or October, when Christian said he builds Windward’s new budget. By November, the finance committee is discussing the budget, benchmarking and running long-range models. Then in December and January, firmer numbers on enrollment, tuition, salary, proposed hiring and program growth are plugged in, and the board approves the budget. By late January or early February, the school issues teacher agreements. In March, student agreements go out, budget updates continue as actual numbers come in, and hiring to replace departing teacher kicks off. April brings more reliable enrollment numbers that indicate if the budget needs adjusting. A clearer picture of the next year’s hiring is available in May, which may result in further budget adjustments. After celebrating the end of the school year in June, audit preparations and the audit itself consume July and August.
Christian and Quiambao addressed a number of other topics: benchmarking, governance, the monthly balance sheet, dashboards, long-range planning, the audit, enrollment contracts, liability and property insurance, benefits, legal issues, leadership skills and more. Listen to the webinar, read the transcript and download the slides in the NBOA webinar archive.
Will This Be the Year for Internal Investigations?
A GDPR Primer for Independent Schools
Sign in to leave a comment
Get Net Assets NOW
NBOA's free twice-monthly newsletter
1400 I Street, NW, Suite 675Washington, DC 20005www.nboa.org