Development Fees Accounting in Schools: Para 99 Compliance & DRF Reduction

Managing Development Fees in schools is a technical challenge, particularly when it comes to Para 99 compliance and handling the Depreciation Reserve Fund (DRF). This video offers a practical, step-by-step guide for administrators, finance professionals, and accountants working in the education sector

Key Takeaways from the Video

• Clear Explanation of Para 99 Rules:

  This video explains that development fee must be handled as restricted funds, exclusively meant for capital expenditure on assets like furniture, fixtures, and equipment. Importantly, depreciation charged on such assets must be credited in a restricted fund column, complying strictly with Para 99.

  
  

• Methods to Reduce DRF:

  It demonstrates how to systematically lower your Depreciation Reserve Fund (DRF) by transferring depreciation entries correctly and preventing the over accumulation of reserved funds.

  
  

• Best Practices for Development Fund Accounting:

  It emphasises regulatory compliance to para 99 and fund-based accounting. Clear understanding of funds position and depreciation allows schools to forecast and allocate resources efficiently.

Who Should Watch?

School administrators, finance teams, auditors, and anyone involved in education sector accounts will benefit from these actionable insights and compliance strategies.

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