How to Handle Fundraising Income in a PTA Treasurer Report

The school book fair runs for a week, the deposits come in over ten days, and your reporting period ends before you've received the final check. Or you run a fundraiser in October, the company processes orders for six weeks, and the profit check arrives in December. Fundraising income is the most timing-complicated part of a PTA's finances — and the most common source of reporting confusion.

Gross vs. net fundraising income

When your PTA collects $10,000 for a spirit wear order and pays $6,000 to the vendor, you have two options for how to report it. Gross reporting: show $10,000 in income and $6,000 as a fundraising expense. Net reporting: show $4,000 as fundraising income and nothing as an expense.

Gross reporting is preferred because it shows the board both how much activity the fundraiser generated and what it cost to run it. Net reporting is simpler but obscures the real picture — it makes a $10,000 fundraiser that cost $6,000 to run look identical to a $4,000 fundraiser with no costs.

When income spans multiple reporting periods

Report income in the period it was received. If the book fair deposit arrives on November 3 for a fair that ran October 28-31, it goes in the November report. This is cash-basis reporting — the standard for most volunteer organizations.

In your October report, you can add a talking point: "The book fair closed October 31. Proceeds expected in November." This keeps the board informed about what's coming without including money that hasn't arrived yet.

Itemizing fundraisers in the income section

When your PTA runs multiple fundraisers, label each one separately rather than grouping them as "fundraising income." Showing "Book fair: $3,200" and "Holiday gram: $800" and "Spring auction: $6,400" gives the board visibility into which events generated revenue. This supports better decisions about which events to repeat and which to reconsider.

End-of-fundraiser reconciliation

For any fundraiser that involves collecting money before paying vendors — spirit wear, cookie dough sales, flower orders — you need a reconciliation: how much was collected, how much was paid to the vendor, and what the net proceeds are. This reconciliation belongs in the report for the month the fundraiser closes.

For booster clubs running high-volume concession fundraisers, the booster club fundraising income guide covers the specific accounting challenges there. For co-ops managing multiple income streams alongside fundraising, the multiple income sources guide covers the overall structure.

Common questions

What if we haven't received the vendor check yet when I write the report?

Don't include it as income until the deposit is in the bank. Note in your talking points that the proceeds are pending. Record it when it arrives, even if that's the following month.

Do I need to report fundraiser income to the IRS?

For 501(c)(3) PTAs: fundraising income that furthers your exempt purpose is generally not taxable. But if you have significant unrelated business income (selling goods unrelated to your mission), there may be reporting implications. This is worth a quick check with an accountant or the National PTA if you're unsure.

EasyTreasurer categorizes deposits from your bank CSV by source — so fundraiser proceeds get grouped correctly in your income section without manual sorting.