We are asking for accounting from the school so we can present it to our members. The admin is going to give us the amounts they spent on the new computer lab. I think it is fair and I good fundraising method. Next year we will be able to say 5,000 went to new desks, 3,000 went to fix the boiler and 8,000 went to new science lab instead of saying 16,000 went to the school. I think parents like to know what exactly what their money and efforts got them. It also fosters a sense of pride knowing how parents materially contributed to the school. This will help with raising more money next year.

501C(3) rules are pretty vague they basically say that most of the money raised has to go to whatever the main goal of the organization is. So in this case a PTO's main goal is supporting the school. So giving the money or anything bought with the money to the school is directly benefiting the school and therefore fulfills this requirement. The IRS is not going to care what the money goes to from there at least as far as your group is concerned (the IRS would want the money spent by the school to benefit its main purpose as well). How the PTO decides to benefit the school is up to your members, your bylaws and your relationship with the school. Some groups give a percentage to what is called the principles discretionary fund and use the rest for PTA events and chosen projects. Other PTOs hand all the money raised over to the school at the end of the year no questions asked. Others spend all the money on programs and projects that benefit the school. All of these methods are perfectly legal and right.

The way we do it is mostly with targeted fund raising. Next year the project will be renovating the locker rooms. We will get bids and know ahead of time how much everything will cost. Then once the money has been raised we will give the school the money who will then pay the contractors and have the project start.
Hope this helps!

Frankly to say, I like where this thread is very interesting to discuss.

comparatif assurance voiture

We give our school money each year, we write a check to the school bookkeeper,
1500.00 for field trip bus, 3500.00 for the teachers need fund.
It is a reoccuring expense for our PTO, if the bookkeeper has additional money she cuts a check back to the pto

Would anyone be able to give me a clear understanding of the 501c3 rules/regs involving granted, fundraised money from a PTO to its school? If a PTO does all the fundraising, can it give its school half of all profits and still manage its use through the PTO bank account, e.g. write checks for school expenditures?

Is it typical for PTOs to operate in this manner?

One other question, when PTOs grant/give money to their schools, do they ask for transparency and accountability from the school back to the Board and General Members?

Thanks!