Introduction to the

Handbook on the
Financial Transactions
of Sangguniang
Kabataan
JARRA ANDREA A. JACA, CPA, CTT
Masbate PDRRMO
March 22, 2025
DEFINITION OF TERMS
 DEFINITION OF TERMS
ANNUAL BUDGET
a financial plan embodying the estimate of receipts and payments
for one fiscal year operation of the SK, should be consistent with
the Comprehensive Barangay Youth Development Plan (CBYDP)
and Annual Barangay Youth Investment Program (ABYIP)

APPROVED BUDGET
consists of Annual and Supplemental Budget based on SK
Resolution
 DEFINITION OF TERMS
COMMITMENT
the amount committed to be paid by SK for any lawful payments
to be made by the accountable officer for and in behalf of the SK
officer.

DISBURSEMENTS / PAYMENTS
constitute all cash paid out during a given period in cash or by
check.
RECEIPTS AND COLLECTIONS
constitute all collections during a given period in cash or by check
or direct deposit to the SK bank account.
 DEFINITION OF TERMS
REPORTING PERIOD
the period covered by the financial statements which shall be
January 1 to December 31

SK FUNDS
10% of the General Fund of the Barangay
Proceeds from fund-raising activities that are in line with
CBYDP and ABYIP
Contributions, monies and all other resources received without
specific purposes, and
Funds received for specific purposes
 DEFINITION OF TERMS
PROPERTY AND EQUIPMENT
tangible items with unit cost of P50,000 and above that are (a)
held for use in the operation or rendering of services, or for
administrative purposes and (b) expected to be used during more
than one reporting period.

SUPPLIES AND MATERIALS

are items to be used in operation, or consumed or distributed in
the rendering of services. These include semi-expendable property
or tangible items with unit cost below the capitalization threshold
of P50,000.
 DEFINITION OF TERMS
MOOE
Maintenance and Other Operating Expenses. It refers to expenses
incurred for the day-to-day operational needs of an organization.
These expenses typically include costs related to utilities, supplies,
repairs, transportation, communication, and other routine
expenses necessary to maintain the operations of the organization.

CO
Capital Outlay. It refers to fixed assets acquired, upgraded or
maintained such as land, buildings, infrastructure and equipment.
They provide long-term benefits and are not consumed within a
single accounting period.
BASIC STANDARDS
AND POLICIES
BASIC STANDARDS AND POLICIES
1 FINANCIAL INDEPENDENCE
The SK operates autonomously concerning its
operations, disbursements and encashment
of its funds, income and expenditures.

2 FUND ALLOCATION
10% of the barangay’s general fund is reserved
for the SK.

3 COMPLIANCE WITH LAWS

Disbursement of SK funds must adhere to
relevant laws, such as RA No. 10742, RA No.
7160, and RA No. 9184.
BASIC STANDARDS AND POLICIES
4 ACCOUNTING OF MONIES
All funds received by SK officials are to be
accounted for as SK funds, unless specified
otherwise by law.

5 PURPOSE OF FUNDS
SK Funds are exclusively for programs
promoting youth development, including
education, health and sports.

6 APPROVAL OF DISBURSEMENTS
All fund disbursements require approval from
the appropriate SK officials.
BASIC STANDARDS AND POLICIES
7 DOCUMENTATION
Claims against SK funds must be supported
with complete documentation.

8 REVENUE ACKNOWLEDGMENT
All revenues must be properly acknowledged
with official receipts or validated deposit slips.

6 FISCAL RESPONSIBILITY
All individuals with authority over SK financial
matters share responsibility for fiscal integrity.
 RECEIPTS /
COLLECTIONS &
DEPOSITS
RECEIPTS / COLLECTIONS & DEPOSITS
SPECIFIC POLICIES
All receipts/collections in cash or check shall be acknowledged by the
SK Treasurer by issuing OR or copy of VDS for direct deposit in lieu of
OR.
All particulars in the OR shall be filled out. Duplicate and triplicate
copies of the OR shall be the exact copy of the original.
ORs shall be issued in numerical sequence. Erasures and alterations
are strictly not allowed. OR with erasures and alterations shall be
marked as “cancelled.”
Issue of temporary or provisional receipt is not allowed.
RECEIPTS / COLLECTIONS & DEPOSITS
SPECIFIC POLICIES
SK funds shall be deposited in a current account under the name of
the SK with the SK Chairperson and SK Treasurer as the official
signatories.
Receipts/Collections, in cash or check, accruing to the SK funds shall
be deposited intact daily. Where travel time to the bank is more than
one day, deposits shall be made at least once a week or as soon as the
collections reach P5,000.00.
Receipts/Collections and deposits of SK funds derived from any
source shall be recorded and monitored in the Register of Cash
Receipts, Deposits and Other Related Financial Transactions (Annex 5)
to be prepared/maintained by the SK Treasurer.
RECEIPTS / COLLECTIONS & DEPOSITS
SPECIFIC POLICIES
Deposits and withdrawals/payments from the current account shall
be recorded and monitored in the Register of Cash in Bank and Other
Related Financial Transactions (Annex 6) to be prepared/maintained
by the SK Treasurer.
DISBURSEMENTS /
PAYMENTS
 DISBURSEMENTS / PAYMENTS
SPECIFIC POLICIES
All claims out of the SK funds shall be made only through
Disbursement Voucher (Annex 7) duly certified/approved by BMO, SK
Treasurer and SK chairperson.
The DV shall be supported with complete documentation in
accordance with COA Circular No. 2012-001 dated June 14, 2012, as
amended by COA Circular No. 2013-001 dated January 10, 2013, and
other pertinent COA issuances.
Disbursements shall be made by issuing checks in the name of the
SK of the barangay. Checks shall be signed by the SK Treasurer and
countersigned by the SK Chairperson.
 DISBURSEMENTS / PAYMENTS
SPECIFIC POLICIES
All disbursements subject to withholding taxes shall be in accordance
with the regulations issued by Bureau of Internal Revenue.
All checks drawn during the day, whether released or unreleased
including cancelled checks shall be recorded chronologically in the
RCB maintained by the SK Treasurer.
The SK Chairperson’s Certification (SKCC Annex 8) shall be issued by
the SK Chairperson to the bank for all checks issued during the day
on a daily basis or as the need arises.
A check which has been outstanding for over 6 months from date of
issue shall be considered as staled check.
 DISBURSEMENTS / PAYMENTS
SPECIFIC POLICIES
Cash advance shall be given only for a legally authorized specific
purpose and no additional cash advance shall be allowed to any SK
official unless the previous cash advance given to him/her is first
liquidated and accounted for.
Liquidation of cash advance for local travel shall be made through the
submission of a LR and shall be done within 30 days upon return to
the official station. 60 days for foreign travels.
Any unutilized cash advance shall be refunded and an OR shall be
issued to acknowledge collection thereof.
SK fund shall not be used for the payment of personnel services
expenditures.
SUPPLIES AND
MATERIALS
 SUPPLIES AND MATERIALS
SPECIFIC POLICIES
The SK Treasurer shall act as the Supply and Property Officer and
shall be responsible for the receipt, custody, issue and disposal of all
supplies and materials of SK.
All procurement of supplies and materials of the SK shall be charged
against the budget for maintenance and other operating expenses
(MOOE) included in the Annual Procurement Plan (APP) approved by
the SK Chairperson. The total estimated cost of the APP for supplies
and materials shall not exceed the total budget authorized for the
acquisition of supplies and materials.
The SK shall constitute a Bids and Awards Committee (BAC) in
accordance with GPBB Circular 07-2019 dated July 17, 2019.
 SUPPLIES AND MATERIALS
SPECIFIC POLICIES
All purchases of supplies and materials shall be covered or supported
by an approved Purchase Request (PR Annex 14) and Purchase Order
(PO Annex 15).
A copy of PO shall be submitted to the COA Auditor concerned within
5 days upon approval of the SK Chairperson and conformity by the
supplier.
PROPERTY AND
EQUIPMENT
 PROPERTY AND EQUIPMENT
SPECIFIC POLICIES
The SK Treasurer shall act as the Supply and Property Officer and
shall be responsible for the receipt, custody, issue and disposal of all
property and equipment of SK.
All procurement of property and equipment, the construction
materials for infrastructure projects implemented by the SK shall be
charged against the budget for capital outlay (CO), included in the
Annual Procurement Plan (APP) approved by the SK Chairperson. The
total estimated cost of the APP for property and equipment shall not
exceed the total budget authorized for the acquisition of property
and equipment.
The SK shall constitute a Bids and Awards Committee (BAC) in
accordance with GPBB Circular 07-2019 dated July 17, 2019.
 PROPERTY AND EQUIPMENT
SPECIFIC POLICIES
All requisitions and purchases of property and equipment shall be
covered or supported by an approved Purchase Request (PR Annex
14) and Purchase Order/Contract (PO Annex 15).
A copy of PO/Contract shall be submitted to the COA Auditor
concerned within 5 days upon approval of the SK Chairperson and
conformity by the supplier.
 PROCUREMENT OF
SUPPLIES, MATERIALS,
PROPERTY AND
EQUIPMENT
RA 9184 - GOVERNMENT PROCUREMENT
REFORM ACT

RA 10742 - Sangguniang Kabataan Reform Act of 2015

Such funds shall be disbursed in accordance with the provisions
of RA No. 10742, as amended by RA No. 11768, this Revised IRR, RA
No. No. 7160, RA No. 9184, and such other pertinent laws, rules and
regulations;
 ALTERNATIVE METHODS OF
PROCUREMENT

SHOPPING
A method of procurement whereby the Procuring Entity simply
requests for the submission of price quotations for readily
available off-the-shelf Goods or ordinary/regular equipment to be
procured directly from suppliers of known qualification
 ALTERNATIVE METHODS OF
PROCUREMENT

NEGOTIATED PROCUREMENT
A method of procurement that may be resorted under the
extraordinary circumstances provided for in Section 53 of this Act
and other instances that shall be specified in the IRR, whereby the
Procuring Entity directly negotiates a contract with a technically,
legally and financially capable supplier, contractor or consultant.
BASIC REQUIRED DOCUMENTATION
Purchase Request
Approved Procurement Plan
Proof of posting of invitation or request for
submission of price quotation in the PhilGEPS
website, if available, and at any conspicuous place
reserved for this purpose in the premises of the
procuring agency for a period of 7 calendar days in
case of Shopping and Negotiated Procurement
BAC resolution recommending and justifying to the
Head of Procuring Entity (HOPE) the use of
alternative mode of procurement
Price quotation from at least 3 bonafide and
reputable suppliers
Abstract of canvass
BASIC REQUIRED DOCUMENTATION

Approval by the HOPE of the BAC Resolution

recommending award of contract
Purchase Order
Original copy of the delivery invoice
Inspection and acceptance report
Sworn affidavit of the bidder that it is not related to
the HOPE by consanguinity or affinity up to 3rd civil
degree.
Requisition Issue Slip
Inventory Custodian Slip (for semi-expendable
property)
BASIC REQUIRED DOCUMENTATION

COA CIRCULAR 2012-001

pages 47-48
BASIC REQUIRED DOCUMENTATION
BASIC REQUIRED DOCUMENTATION
BASIC REQUIRED DOCUMENTATION
BASIC REQUIRED DOCUMENTATION
BASIC REQUIRED DOCUMENTATION
 FINANCIAL
STATEMENTS AND
OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS

MONTHLY - on or before the 20th day of the following month

Bank Reconciliation Statement (BRS)
Copies of Bank Statement
FINANCIAL STATEMENTS AND OTHER REPORTS

RCB - unadjusted balance of cash per RCB

Bank - unadjusted balance of cash per bank statement

must be equal
FINANCIAL STATEMENTS AND OTHER REPORTS
QUARTERLY - on or before the 20th day after the end of each quarter

Register of Budget, Commitments, Payments and Balances

(RBCPB) for MOOE and CO
Summary of Budget, Commitments, Payments and Balances
(SBCPB)
Register of Specific Fund, Commitments, Payments and Balances
(RSFCPB) for MOOE and CO
Summary of Specific Fund, Commitments, Payments and Balances
(SSFCPB)
Register of Cash Receipts, Deposits and Other Related Financial
Transactions (RCRD)
Register of Cash in Bank and Other Related Financial Transaction
(RCB)
Statement of Receipts and Payments (QSRP)
Report of Accountability for Accountable Forms (RAAF)
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS

“Totals for the

quarter” of the
“Receiptsl/ Direct
Deposits” of the
RCRD
FINANCIAL STATEMENTS AND OTHER REPORTS
“Totals for the
quarter” of the
“Breakdown of
Withdrawal/
Payments” of the
RCB
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
SEMI-ANNUAL - Not later than July 31 and January 31 of the ff year

Report on Inventory of Purchased Supplies and Materials (RIPSM)

Report on Inventory of Donated Supplies and Materials (RIPE)

ANNUAL - not later than January 31 of the ff year

Report on Inventory of Purchased Property and Equipment

Report on Inventory of Donated Property and Equipment
- within 60 days after the end of each year
Statement of Receipts and Payments (ASRP)
Statement of Comparison of Budget and Actual Amounts (SCBAA)
Notes to Financial Statements
FINANCIAL STATEMENTS AND OTHER REPORTS

Filled out by Filled out by

SK Treasurer Inventory
Committee
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS

Consolidated
data of “Receipts”
of the QRSP
FINANCIAL STATEMENTS AND OTHER REPORTS
Consolidated data
of “Payments” of
the QRSP
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS

Based on the ASRP

Based on the Approved
except funds received
Annual Budget
with Specific Purpose

Based on the Original

and Supplemental
Budget per SK
Resolution

Based on the SBCPB

FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS

Filled out by Filled out by

SK Treasurer Inventory
Committee
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
OTHER REPORTS
Disbursement Voucher
SK Chairperson’s Certificate
Annual and Supplemental Budget
Comprehensive Barangay Youth Development Plan
Annual Barangay Youth Investment Plan
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
SAMPLE TRANSACTIONS
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1 RBCPB each Program under MOOE

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SAMPLE TRANSACTIONS

100,000 100,000
110,000

ASSUMING, THE BANK BALANCE OF JANUARY BANK

STATEMENT IS P110,000.00, THERE IS AN
UNRECORDED DIRECT DEPOSIT OF P10,000.00
10,000

REQUEST FOR A VDS FOR DIRECT DEPOSIT AND

RECORD ON RCB AS DIRECT DEPOSIT

110,000 110,000
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END OF FIRST QUARTER

PREPARE QUARTERLY REPORTS
REGISTRY OF BUDGET, COMMITMENTS, PAYMENTS AND BALANCES - MOOE
REGISTRY OF BUDGET, COMMITMENTS, PAYMENTS AND BALANCES - CO
REGISTRY OF BUDGET, COMMITMENTS, PAYMENTS AND BALANCES (OTHERS)
REGISTRY OF BUDGET, COMMITMENTS, PAYMENTS AND BALANCES (OTHERS)
SUMMARY OF BUDGET, COMMITMENTS, PAYMENTS AND BALANCES
REGISTRY OF SPECIFIC PURPOSE FUND, COMMITMENTS, PAYMENTS AND
BALANCES - CO
SUMMARY OF SPECIFIC FUND, COMMITMENTS, PAYMENTS AND BALANCES
REGISTER OF CASH RECEIPTS, DEPOSITS AND OTHER RELATED FINANCIAL TRANSACTION
REGISTER OF CASH IN BANK AND OTHER RELATED FINANCIAL TRANSACTIONS
QUARTERLY STATEMENT OF RECEIPTS AND PAYMENTS (1ST QUARTER)
QUARTERLY STATEMENT OF RECEIPTS AND PAYMENTS (1ST QUARTER)
QUARTERLY STATEMENT OF RECEIPTS AND PAYMENTS (1ST QUARTER)
QUARTERLY STATEMENT OF RECEIPTS AND PAYMENTS (1ST QUARTER)

MUST TALLY TO RCRD BALANCE

FOR CASH ON HAND AND AND
RCB FOR CASH IN BANK
QUARTERLY STATEMENT OF RECEIPTS AND PAYMENTS (1ST QUARTER)

MUST TALLY TO RCRD BALANCE

FOR CASH ON HAND AND AND
RCB FOR CASH IN BANK
QUARTERLY STATEMENT OF RECEIPTS AND PAYMENTS (1ST QUARTER)

10 001 - 010 4 001 - 004 6 005 - 010

10 01111-01120 5 01111-01115 5 01116-01120
SAMPLE TRANSACTIONS

END OF JUNE 30
PREPARE SEMESTRAL
REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS

Filled out by Filled out by

SK Treasurer Inventory
Committee
FINANCIAL STATEMENTS AND OTHER REPORTS
SAMPLE TRANSACTIONS

END OF FISCAL YEAR

PREPARE ANNUAL REPORTS
ANNUAL STATEMENT OF RECEIPTS AND PAYMENTS (1ST QUARTER)
STATEMENT OF COMPARISON OF BUDGET AND ACTUAL AMOUNT
FINANCIAL STATEMENTS AND OTHER REPORTS

Filled out by Filled out by

SK Treasurer Inventory
Committee
FINANCIAL STATEMENTS AND OTHER REPORTS
FINANCIAL STATEMENTS AND OTHER REPORTS
Thank You!