Organization Bank Accounts
Opening a bank account for your organization requires careful consideration and understanding. This section provides information on setting up an account with the Alabama Credit Union (ACU) or other banking institutions in Alabama.
To open an account at any financial institution, your organization must be recognized by The University of Alabama and have an up-to-date mySOURCE organization profile. The Office of Student Involvement recommends using the Alabama Credit Union.
- A signed and completed ACU Student Organization Account Resolution and Association Agreement (signed by advisor and authorized signers; To obtain this document you must visit The University of Alabama Student Center ACU location)
- Our office no longer provides a “Bank Letter” for Alabama Credit Union. The bank will utilize your public information on your organization’s mySOURCE profile to verify eligible signers. If your “Profile Information” in mySOURCE is not updated with the appropriate personnel, then you will need to submit a “Change of Officer/Advisor Form” or complete the organization renewal process (Renew an Org) if it is during your designated registration window.
Your organization will benefit from the strong partnership and working relationship ACU has with UA. For more information about banking with Alabama Credit Union, you should visit their The University of Alabama Student Center location or contact them via phone.
- To apply or renew your organization’s bank account with any banking institution (including the Alabama Credit Union), the bank must be able to verify that the users you are requesting to be on your account are officially recognized via mySOURCE by the UA Office of Student Involvement.
- To view who is currently listed as eligible signers on your bank account, you will login to mySOURCE, go to your organization’s main page, and then click the “Profile” tab on the left side. This is a depiction of what is currently on file with The Office of Student Involvement.
- The profile cannot be updated by you and must be changed administratively in our office. If you notice that your information is incorrect, you will need to go to the “Forms” tab on mySOURCE and fill out the “Change of Officer/Advisor Form”. Updates could take 48-72 business hours. During the renewal period, the Change of Officer/Advisor forms will not be available, so you will complete your organization’s renewal application and NOT this form.
Questions? Contact Student Involvement at 205-348-6114
Student organizations should consider applying for an IRS Federal Employer Tax ID Number (EIN) if they intend to collect dues, be paid for services, or collect funds for philanthropy purposes. The quickest way to complete is online. An EIN stands for employer identification number.
Please note: Student organizations are not allowed to use the University of Alabama’s EIN when establishing their bank account.
When you apply online, you will be asked to identify your organization’s type of legal structure. Select: “View Additional Types, Including Tax-Exempt and Governmental Organizations”, then “PTA/PTO or School Organization.“
Requesting your EIN Number Online
Complete this online application and you will obtain your EIN number immediately (please print or save for your records):
- Go to EIN Assistant website
- Begin Application
- Click “View Additional Types, Including Tax-Exempt and Governmental Organizations” and click continue
- Click “PTA/PTO or School Organization” and continue
- Choose “I am a responsible and duly authorized officer or member of this organization”
- Type the permanent address your organization is using
- Legal name of PTA/PTO/School Organization is your organization’s official name with The SOURCE, county is Tuscaloosa County
- Next, select “No” for all options
- Click Other and click continue and then click “Organization”
- Select the category that best describes your organization. Ex – Dance Marathon at UA would select “Fundraising” and specify in detail: “Raise funds for local Children’s Miracle Network Hospitals and Pediatric Outreach Programs”
- Finally, you will click “Receive letter Online”, review your information, and submit!
- If and when the address or individual’s name on the account changes, you will need to make sure to update that with the IRS.
Officer Transition Plan for EIN Number
When the officer who submits the EIN request is no longer associated with the organization due to graduation or any other reason, they will need to be sure to communicate this information to the IRS, as well as any other accounts (bank, online, etc.) to have their personal information removed from any accounts.
If that individual does not remove themselves, they can be held responsible for any financial obligations made by the organization. Also transferring your student organization’s accounts ensures a smooth transition for the new leadership.
- Registered Student Organizations cannot use the University’s federal tax exemption of nonprofit organizations, specifically those that are considered public charities, private foundations, or private operating foundations. Registered Student Organizations are not covered by the University’s 501(c)3 status when making purchases from their non-UA/off-campus account.
- If a registered student organization is connected to a nonprofit organization and/or are an affiliate chapter of a national body that has nonprofit status, the student organization officers should work with the large nonprofit organization to find out if it is covered under that group’s 501(c)3 status.
- Student Organizations should use caution in entering into fundraisers and other endeavors where 501(c)3 status is preferred or required. In particular, local businesses who host percentage nights and other fundraising opportunities, often require that documentation to receive their tax write-off in exchange for the organization receiving funds. Student Organizations cannot use the University’s 501(c)3 status for monetary gain for their student organization.
- Questions? Contact Student Involvement at 205-348-6114
Should a student organization believe they qualify for non-profit status and seek to apply with the federal government, they should do that with the advisement of a lawyer or tax professional, as it is an undertaking which requires submission of annual documents to the federal government (i.e.- IRS).
- A Letter of Verification of your registered status with The SOURCE, which indicates the authorized account signers
- Establishment of an EIN number (also known as a tax identification number- How to apply for an EIN) for your organization.
- Additional paperwork required by the banking institute (varies with banking institution)
Financial Management and Accountability
- Registered student organizations must keep all funds allocated from University-controlled sources in a University account and spend them according to The University of Alabama’s financial policies and state funding guidelines. Losing registered status results in the forfeiture of access to FAC funding, current FAC allocations, and other financial benefits.
- Organizations may also maintain accounts outside the University, such as with the Alabama Credit Union (ACU) or another bank. They must maintain accurate records of income, expenditures, and the purpose of each transaction. Receipts must be kept for all expenditures and issued for all funds collected.
- Members of registered organizations have the right to know how funds are managed. The sources, amounts, and purposes of organizational revenues and expenditures are public knowledge. To prevent fraud, organizations should implement consistent financial policies.
- It is recommended that organizational funds be disbursed via checks rather than cash, with the signature of one officer (preferably the president or treasurer).
- Advisers should serve as signatories for adding or removing students from bank accounts, but should NOT be active signers.
Bama Dining Food Grant
Bama Dining and Enterprise Operations offer active, registered student organizations the chance to receive food and refreshment donations for events. For more details, see the following:
For questions about the Bama Dining Food Grant, contact Patrick Brinyark at patrick.brinyark@ua.edu.
Coca-Cola Grant
Registered student organizations are eligible for up to $75 worth of Coca-Cola products per year, including soft drinks and customizable banners, for events and publicity. Your allocation is tracked in a spreadsheet by our office, and once you’ve reached your limit, no additional funds will be available.
To submit a request, ensure it’s at least 10 business days in advance of your event. All funds are distributed on a first-come, first-served basis. To request an allocation:
- Complete the Coca-Cola Grant Request Form.
- The Office of Student Involvement will review your request and, if approved, send you an email confirmation.
Complete the Coca-Cola Grant Submission Form via DocuSign
The Coca-Cola Grant Request Form is processed via DocuSign, with added features for both student organizations and UA departments. Pay close attention to the new fields, instructions, and ensure your information is correct before submitting.
For student organizations, approved orders will be delivered to the Office of Student Involvement. UA departments should provide their own delivery address.
If you have questions about the process, contact the Office of Student Involvement at uainvolvement@ua.edu or 205-348-6114.
Financial Affairs Committee (FAC) Funding and Training
The Student Government Association (SGA) Financial Affairs Committee (FAC) allocates funds to registered student organizations for programs, events, travel, and more.
Before applying for FAC funding, organizations must complete FAC Training, which is available on Blackboard. This training helps student leaders understand the FAC application process.
For more information about FAC funding guidelines and training, visit the documents on FAC’s mySource profile or contact FAC Advisor Cassie Yeager at fac@ua.edu.
