The Mental Welfare Commission publication, 'Money Mattters' is a useful resource when considering the management of funds for people who use a service. It should be kept in mind that we expect the standards for financial record keeping to be aligned with the ‘Code of Practice for Supervisory Bodies under Part 4 of the Adults with Incapacity (Scotland) Act 2000'

These standards are:

The Code of Practice (section 7.39) states that managers are required to keep the following records:

  • An opening balance 
  • The date of all credits and debits
  • The amount of the transaction 
  • A running balance
  • A closing balance 
  • A narrative that explains the source of the credit/purpose of the debit 
  • Each transaction to be initialled/signed for by a member of staff 
  • Financial commitments made but not yet paid for 
  • Income due but not received
  • Notes from last review

In addition to this, funds exceeding £500 must be placed in an interest bearing account (section 6.9).