Some charities also have their annual returns to file, with over 5,000 charities having a due date in December.

If you feel like you’ve done a particularly good job on your reporting, you also have an opportunity to get recognised. Chartered Accountants Australia and New Zealand recently announced the second round of its New Zealand Charity Reporting Awards. These awards were introduced in 2017 to recognise and celebrate excellence in reporting. You can find out how to enter and more details about the contest here. Entries close Wednesday 20 February 2019.

We know that a lot of people are interested in how the Charities Act review is progressing, so the policy team at the Department of Internal Affairs has included a brief update below.

We hope your charity takes some time out these holidays to reflect on all your mahi and accomplishments. For those that can, recharge your batteries and enjoy a well-deserved break with friends and whānau, and if you're travelling, stay safe.

From all of us at here at Charities Services, Meri Kirihimete me ngā mihi o te Tau Hou hoki.

Ka kite anō,

Natasha

IN THE SPOTLIGHT

Governance Project update

Some of you may be aware that we have launched a project to look into how we can better support good governance in the charitable sector. We have recently completed the research and engagement stages of the project and are keen to tell you what we have found, and most importantly, what we are going to do about it.

This handy one-pager provides a useful summary of our findings and our plans for the future.

We have also written a blog explaining in a bit more detail why we are doing this and what we have done so far.

SECTOR SHOWCASE

Soup Kitchen volunteer Graeme getting ready for the dinner shift

As we approach Christmas and start thinking about winding down for the summer break, we know that many charities that support the most vulnerable are entering the busiest period of their year. To do this, they rely on a pool of staff and willing volunteers to ensure they can deliver their essential services to the community.

So, when it gets busy, how do you make sure you have the right number of hands on deck, and how do you co-ordinate the extra staff or volunteers so that everyone knows what’s going on? We spoke to Olivia Lange, Community Programmes Manager for The Wellington City Mission and Paula Jones, Volunteer Coordinator for the Compassion Soup Kitchen in Te Aro, Wellington to get some insight.

For the Soup Kitchen, the activity does not have a seasonal pattern at all, but rather a day to day fluctuation that is accommodated by nine core volunteers. Should they need additional support, they have a list of people who are happy to come in at short notice.

Strong community support means there is no shortage of interest when there is a call out for new team members. Paula Jones says they no longer keep a waiting list. “We simply advertise on social media or our website if we need help in particular fixed roles”. In November every year, there is a routine intake of volunteers who will cover permanent volunteers who go on holiday or finish up altogether at the end of the year.

Ensuring volunteers are work ready

Both charities have formal training and processes in place (such as health and safety). As required, the standard screening practice of police vetting for new staff and volunteers is carried out. This is to ensure the safety of all clients, many who may be vulnerable.
Using only permanent staff/volunteers might suit some smaller operations requiring specialist training. The Soup Kitchen, for example, does not employ any temporary volunteers as their training process is in depth and takes some time to complete.

How to coordinate a big team

Olivia shares some key tips for coordinating an expanded team in busy times.

• Run an induction process – it’s very important that new staff know your policies, processes and procedures
• Always have permanent staff working with temps to provide support and guidance. Make sure lead-staff are highly visible – ours wear their Mission T-shirt
• Don’t leave anything to chance and be as organised as possible. But, have a little bit of flexibility as things don’t always go to plan
• Keep your sense of humour

NEWS OF INTEREST

The importance of reporting

Charities often ask us if they have to do a Performance Report if they haven’t done much or spent much throughout the year.

The answer is yes, you must report each year if you are a registered charity.  One of the obligations of being registered is that you complete an Annual Return and submit a Performance Report/financial statements every year. We understand that this might be a bit of work for your charity if you are not very active, but annual reporting creates transparency for your members, donors and the public.  It also allows us to collect valuable data each year about the charitable sector. 

If you aren’t sure if being registered is right for your organisation then have a read of the following for more information on ‘Benefits and obligations of being registered’, and ‘Is being registered with Charities Services still right for your organisation?’ If you have any questions, please feel free to contact us.

If you think you’ve done a good job, you can also submit your performance report or financial statements to the Chartered Accountants Australia and New Zealand New Zealand Charity Reporting Awards. You can find out how to enter and more details about the contest here. Entries close Wednesday 20 February 2019.

Why do charities voluntarily deregister?

About 500 charities voluntarily deregistered in the last financial year, following a fairly consistent trend over the last five years. There are a number of reasons why this is the case:

• The charity is no longer operating (68%)
• The charity decides that it does not want to be a registered charity but will still continue to operate (13%),
• The charity decides that it can do greater work collaboratively and merges with another registered charity (8%)
• Other reasons include merging with a non-charity, consolidating, no longer meets requirements, and 'other' (11%).

The majority of these charities were very small organisations: 82% of these charities had $10,000 or less in assets or income, and 55% had no assets at all.

Reminder: Annual Returns due in December

Is your charity’s balance date 30 June? A friendly reminder that your Annual Return (includes the Performance Report) is due 31 December 2018. We've got lots of information and guides on our website to help you prepare to file: https://charities.services/reporting. If you have any questions relating to reporting, please email us: info@charities.govt.nz.

Should board members be paid? How much? Have your say.

PKF Hamilton is a firm of Chartered Accountants and are conducting this short, anonymous survey to better understand how board members in the charities and not-for-profit sector are paid.

Update on the Charities Act review

Work is continuing on the discussion document on the review of the Charities Act 2005, taking in feedback from a range of sources.  We are on track to release the discussion document for public consultation in March and April 2019, and will be keen to hear feedback on a wide range of issues.  We are in the process of confirming community meeting dates, at around 20 locations across the country. We know many charities are  wanting to hear details of these meetings, and we are aiming for an announcement as soon as possible in the New Year.

More information on the review can be found at www.dia.govt.nz/charitiesreview.

RESOURCES