More Than Financial Transparency, But Financial Efficiency

The board of directors of Student Advisory Centre made a decision regarding financial transparency on the month of Jan 2007. In this discussion on financial matters, guidelines were drawn up and implemented for the whole organization.

It was agreed that 80% for all funds raised must go direct towards charitable purposes, allowing only 20% for administration purposes.

Clear distinctions were set on the definition of the work of charitable purposes, and what constitutes administration purposes. In the mind of the board of directors, charitable funds are to be consumed directly for the beneficiaries interest. This meant that it cannot be used for any consumption that is not enjoyable by the beneficiaries.

Administration purposes however, meants expenses not enjoyed by beneficiaries. Cost of Audit, website hosting, cost of administration staff salaries, stationery, new logistics and such, were all not allowed.

Let's take a look hence, at the financial distribution principal of the centre. We assume S$100,000 net funds is received in a year through charity donations.

By going by this principal, the board of Student Advisory ensures that the charity does what it is meant to, hence retaining the strictest integrity for the centre.

Financial Statement 2004 (PDF)
Financial Statement 2005 (PDF)
Financial Statement 2006 (PDF)
Financial Statement 2007 (PDF)

Salary bands of it's staff

Reserve Policy

The charity sets aside a minimum of 10% of it's income annually in it's accounts, not totalling more than 5 years excess of projected annual expenditure in it's reserves.