P&C funds belong to the association and its members. They are raised on behalf of the school community and must be spent carefully, transparently and in line with the P&C’s purpose. 

This resource explains how spending decisions are usually made, what to consider before approving expenditure, and how good processes help protect volunteers and the association. 

Why this matters 

Spending decisions are one of the most common and visible things a P&C does. They are also one of the areas where misunderstandings and disputes can arise. 

Clear spending processes help: 

• ensure money is used for its intended purpose 
• support fair and transparent decision-making 
• protect committee members and volunteers 
• maintain trust with the school community 

Poorly made or poorly documented decisions can create risk for the P&C and its committee. 

What P&C funds can be used for 

P&C funds should only be spent in ways that: 

• align with the objects and purpose of the association 
• have been properly approved 
• benefit the school community 

Your constitution is the starting point for understanding what your P&C is allowed to spend money on. 

If you’re unsure whether something is permitted, it’s appropriate to pause and check before proceeding. 

How spending decisions are usually made 

Most spending decisions follow a simple process: 

• the proposed expenditure is raised at a meeting 
• members discuss the proposal 
• a motion is put forward and approved 
• the decision is recorded in the minutes 

Some constitutions allow committees to approve spending up to a certain limit between meetings. Larger or unusual expenditures are usually referred to the P&C as a whole. 

Always check what your constitution says about spending authority. 

Things to consider before approving spending 

Before approving expenditure, it’s good practice to consider: 

• whether the spending aligns with the P&C’s purpose 
• whether the cost is reasonable and affordable 
• whether funds are available and uncommitted 
• whether the spending creates an ongoing obligation 
• whether there are any risks or liabilities involved 

Taking a moment to ask these questions helps avoid rushed decisions. 

Delegations and limits 

Some P&Cs set clear spending limits for: 

• the committee 
• individual office bearers 
• urgent or routine expenses 

These delegations should: 

• be consistent with the constitution 
• be clearly agreed and documented 
• be reviewed from time to time 

Delegations don’t remove accountability. They help decisions happen efficiently while maintaining oversight. 

Recording spending decisions 

All approved spending should be: 

• clearly recorded in the meeting minutes 
• supported by invoices or receipts 
• reflected in financial reports 

Good record keeping helps demonstrate that funds have been spent properly and in line with decisions made. 

Common pitfalls to avoid 

Some common issues include: 

• approving spending without a clear motion 
• exceeding delegated authority 
• spending outside the P&C’s purpose 
• failing to record decisions properly 
• relying on “we’ve always done it this way” 

Strong processes help prevent these situations. 

A simple spending checklist 

Before approving spending, ask: 

• Is this within our constitution and purpose? 
• Has the correct approval process been followed? 
• Do we have the funds available? 
• Is the decision recorded clearly? 

If the answer to any of these is unclear, pause and check. 

How ACT Parents can help 

ACT Parents can: 

• help P&Cs think through spending questions 
• support committees to clarify approval processes 
• help identify when further advice may be needed 

We can’t provide financial or legal advice, but we can help you work through governance considerations. 

Related resources 

• Managing P&C money and risk 
• Fundraising and income 
• Record keeping and reporting 
• Understanding your P&C constitution 

Need a hand? We’re here to help.