What are we doing with your donation ?
How does the project finance work ?
To explain how the finance of the project works lets have a look at an example:
We are in november 2013 :
Step 1 :
Together withe the responsibles of the project in Bonnievale a monthly Budget for 2014 is fixed. The monthly budget includes all the running costs of the project:
- Salaries for the employees
- Food expenses for the children
- School material
- Energy costs (Electricity, fuel, water,…)
- Insurance costs
- Other running costs
The costs are caclulated based on the budget of the previous year plus changes that may occur (for example more children at the project, more salaries to be payed, increasing or sinking energy costs, …)
We are in dezember 2013 :
Step 2 :
The independant accountant of the project sends all the bills and tickets concerning the expenses made in november 2013 to Bonnievale-Project Luxembourg, as well as the bank statements on november 30th,2013. Each expense has to be justified by a bill or a ticket.
Step 3 :
After the expenses for november 2013
have been controlled and approved by Bonnievale-Project Luxembourg, the budget for December 2014 is transferred to Bonnievale. Should there be a problem with one of the expenses, the budget for
December can only be transferred after the problem has been sorted out.
If there is an extra that does not suit into the budget, how will it be treated ?
Each expense that passes the budget needs an extra request. We check if the project can financially be done (by going to the reserves or by sponsors).
Bonniepeople Project asked for a patio in front of the main building in 2012, in order to use the space as an "outdoor classroom".
As the project could not be financed by the monthly budget, we checked the quotes and with the help of sponsors, the patio could be built .
Is there a financial control ?
- Bonnievale-Project Luxembourg controls the monthly expenses as described above.
- We do regular controls during our visits at the project. If a fridge, a cupboard or some gardening material has been bought during the year, this material has to be shown to us on request during a visit .
- An external audit is done every year.