PTO Today

Save time!

Just wanted to give everyone a heads-up that we have reorganized the popular File Exchange section of our site. We’ve added new categories, renamed a few, and moved around a bunch of files that were getting lost — so leaders can easily find the forms, flyers, letters, and surveys that they need. Hopefully, the changes will also take the guess work out of where to put something when you upload files to share with others.

Some new categories include:

• volunteer recruitment
• fundraiser forms & letters
• fun run, walk-a-thon
• spaghetti dinner
• holiday shops
• audits
• community service

New file additions of note include a slew of generic parent group logos and a new email opt-in form.

Thank you to all who have uploaded documents to share with fellow parent group leaders. We hear from leaders all the time that the file exchange is such  a powerful resource.  Happy sharing and swapping!

Which one did you use this fall?  Which one is the best choice for your group?

This is always a big discussion on our message boards and in our PTO Today community, mainly because the differences are so stark.  I recently received an email about this topic from an expert that brought a fundamental new concern into the debate.  I’ll explain below.

First, to set the table what we’re talking about here,  is whether you should run your fundraiser so that all sales are paid for up-front (pre-pay) or whether you should take orders and then collect money only at delivery time (post-pay).

I can give you three facts in this debate:

1. Almost all group will make more profit with post-pay– usually a lot more.

2. You will likely have a bounced check or two or get beaten in another way in post-pay (though #1 still applies).

3. There’s some extra work involved with post-pay, as sellers need to go back and collect money at delivery time.

This expert I heard from – a long-time salesman in the fundraising business – gave this perspective:

“A postpay sale is going to generate some “no pay” sales.  That’s a given as “the cost of doing business.”  It is also true that a postpay sale generates approximately double the sales volume of a prepay sale.  As an example, (one of my schools) had a total sales of about $4,500 on their prepay fall fundraiser in 2007.  They switched to postpay in 2008 and had a total sales of over $20,000.  They more than quadrupled the fundraiser profit that they could spend on behalf of the children, and did it with the same size of enrollment.  Yes, it takes a little effort to collect all the money, but they liked the additional money so much that they are doing a postpay sale again this fall.

A second reason relates to the issue of trust.  When parents are told they must have the money up front, they are reluctant to ask their co- workers to buy, lest the co-worker be insulted, thinking that the parent doesn’t trust them.  An even worse situation is one where a school will not accept checks at all. This indicates a severe lack of trust and is pretty much guaranteed to make parents decide not to participate at all.   If you have less than half the parents participating on a fundraiser, you have a lack of trust on the part of the parents in the school administration, simply because the parents feel that they are not trusted.”

The new factor for me was a discussion of how our credit card and debit card and online banking society has made prepay so difficult. Years ago in a prepay sale, the neighbor or co-worker or aunt or uncle pulled out a check and paid for their order on the spot.  Today, I haven’t carried a check in my wallet in several years, and I rarely have more than $20 or $30 in cash in my pocket. Many days, I couldn’t help the prepay seller, even if I wanted to.  The stats show that I’m far from alone in using plastic and online banking (and few paper checks) in my daily routine. This is a huge factor making prepay so difficult.

Hadn’t thought of that.

I’m interested in your take and your experiences on this. Did you prepay or postpay this year? Seeing any trends at your school? Love to hear ‘em.

PS – Are you following us on twitter yet?  @TimPTO and @ptotoday.

Every school year we read about new cases of embezzlement from parent groups. Sadly, in this case it’s a principal that is at the center of the alleged theft of PTO funds. Ugh.  Hate to hear these stories, especially when they are preventable.

With the new school year, it’s a good time to take a good look at your PTO group’s financial controls.  What are you doing to prevent theft? Does your group have insurance?  Is an annual audit part of your group’s standard procedures? Please take the time to read these articles and review your systems. It is our sincere hope that this information will reduce the number of thefts this school year.

In our last post Tim talked about the importance of planning out your entire year. Good stuff. Once you have that down, consider thinking about long-term planning for your PTO group. Hot off the “press” is a new article about how to create long-term plans without the headaches. Read that for some practical tips, then check out our new Sample PTO Strategic Plan.

Summer is a great time for thinking about what you want to accomplish this year. It’s important not to get stuck in the brainstorming process, though. If you want your vision to become reality, it’s important to plan. Here are a few tips to help you get started.

Plan out your entire year. Write down all the activities, programs, fundraisers, etc. that you hope to run. Include when they’ll start and when they’ll end. Think about how much each one will cost (or raise), and think about how many volunteers you’ll need for each. You want to make sure that you have a balanced year, that you aren’t caught off guard, and that you have the resources you need at the time you need them. And by the way, it’s OK to change your plan along the way. Starting with a road map makes picking a new route a lot easier.

Plan to build involvement. How will you attract the volunteers you need and the participation you’re hoping for? Getting people connected to the school and to your group through family events and low-key activities is an important first step. Make sure a big part of your plan for the year focuses on building involvement. The better you do that, the easier everything else will become.

Use our tools. We have lots of free planning tools on ptotoday.com. Finances are not a sexy topic, but we have two terrific articles
that walk you through the basics of creating a budget for the year and figuring a budget for a specific event, even if it’s one you’ve
never run before. Our 2 Hour Power volunteer pledge program has proved to be a successful way to build involvement all year long. And ”9-Stress Busting Organization Tips” offers a nice list of objectives to make your year a success.

Came across this interesting article about how one school board is saying no to using extra funds to hire teachers.. What it boils down to is one school fundraised enough money to offset the costs of cultural events, field trips, technology and more. As a result, the principal was able to use operating expenses to fund a technology teacher.

Recently their county school board announced a new policy that states that principals will no longer be able to hire extra teachers for their schools using operating funds. The reason: budget and equity concerns. The result: no more technology teacher, one very unhappy school parent group! Tough economic times mean tough budget and policy decisions all around. It also raises the question of what should PTO and PTA groups pay for?

On the business side of the PTO world, a couple of us from PTO Today had a great meeting last week with the folks from Rhode Island Novelty and Fun Services.   Nice guys, and very interesting company.  We got a tour of a ha-uge (very huge) warehouse filled with every kind of carnival prize and plastic snake and stuffed animal you can imagine.  My kids = very jealous.

The key point is that Fun Services is very much still going strong.  There had been some questions about what would happen, because Fun Services was technically a part of a big behind-the-scenes fundraising company called “Giftco”, which went into bankruptcy.   But the various Fun Services franchisees have been working throughout the transition, and now are on even stronger ground with the Rhode Island Novelty folks.

Will keep you informed of any other developments.

The annual national PTA convention, which ends today in Florida, is always a good marker for tracking financial performance of the well-known national non-profit for past year.

From my reading of various public documents, a few key items:

Membership – 5.16 million in 23,094 units.  Membership year earlier = approx. 5.4 million.

Revenue of national PTA = $12.5 million.  Revenue year earlier = $13.2 million. 

Expenses of national PTA = 13.2 million. Expenses year earlier = $13.1 million.

Net realized and unrealized loss on PTA investments (fancy term for stock market losses) in past year = $3.6 million.   (I think everyone who has a 401k knows that pain this past year. Ouch.)  Still a good chunk of assets ($14 million) as safety net even after that loss.

National PTA Employee Count 2009 = 81.  2008 = 73. 

My reading:  Expenses and employee count going up is going to be a tough mix with membership still going down.  It’s been several years now since last national dues increase.  Next increase has to at least be under consideration.  Was surprised that there seemed to be little if any questions re: these financials at the national meeting.

This time the stealing from the PTA was done by a couple! Ugh. When the parents at Erdenheim Elementary School in Erdenheim, PA, decided to switch from a PTA to PTO an audit was done and numbers just weren’t adding up… to the tune of $17,000! Ouch. Unfortunately, this group learned the hard way about the importance of fiscal controls in PTOs and PTAs.

Always love it when a PTO project gets completed successfully.   In this case — thanks to the PTO — this school backyard no longer looks directly into an active cemetary.

Love it even more when a Lowe’s Toolbox for Education grant is a big part of the reason why the project worked.. 

Nice.