✨ Financial Statements
3328 NEW ZEALAND GAZETTE, No. 127 14 AUGUST 2008
5. Expenses
Administrative expenses:
| 2008 | 2007 | |
|---|---|---|
| Office administration | 32,613 | 34,779 |
| Advertising and promotion | 160,041 | 162,456 |
| Audit fees | 9,264 | 11,250 |
| Depreciation | 19,005 | 21,190 |
| Rent and services | 76,074 | 74,075 |
| Professional expenses | 40,422 | 58,430 |
| Donation expenses | 2,807 | (1,791) |
| Other expenses | 11,475 | 10,959 |
| 351,701 | 371,348 |
Personnel expenses:
| 2008 | 2007 | |
|---|---|---|
| Trustees’ remuneration | 152,229 | 137,818 |
| Trustees’ meeting expenses | 50,804 | 44,899 |
| Trustees’ liability insurance | 5,206 | 10,960 |
| Staff remuneration | 327,397 | 315,455 |
| Increase/(decrease) in staff leave owing | 20,239 | (4,578) |
| Staff training and travel | 24,036 | 19,196 |
| KiwiSaver net contributions | 7,613 | – |
| ACC levies | 1,399 | 1,515 |
| 588,923 | 525,664 |
Total expenses | 940,624 | 896,992 |
6. Equity
The net surplus/(deficit) has been allocated as follows:
| 2008 | 2007 | |
|---|---|---|
| Trust capital maintenance | 4,800,000 | 4,800,000 |
| Donation reserve transfer | (9,083,988) | 2,979,582 |
(a) Trust Capital
The initial trust capital was set at $90 million in 1997. The trust capital has been increased over time as a surrogate for inflation and population growth within the region administered by the trust. The trustees periodically review the capital maintenance transfer and this year the trustees have determined to increase the capital by $4.8 million. Previous transfers have exceeded inflation and population increases.
| 2008 | 2007 | |
|---|---|---|
| Balance at the beginning of the year | 113,934,668 | 109,134,668 |
| Allocation of surplus to capital maintenance | 4,800,000 | 4,800,000 |
| Balance at the end of the year | 118,734,668 | 113,934,668 |
(b) Donation Reserve
The trustees retain all undistributed income in the donation reserve. The optimum level of the donation reserve is 25% of the capital base so that the annual donation distribution is able to be maintained when investment markets provide negative results.
| 2008 | 2007 | |
|---|---|---|
| Balance at the beginning of the year | 29,948,630 | 31,479,389 |
| Transfer from Income | (9,083,988) | 2,979,582 |
| 20,864,642 | 34,458,971 | |
| Less net donations | 5,808,492 | 4,510,341 |
| Balance at the end of the year | 15,056,150 | 29,948,630 |
(c) Total Equity
| 2008 | 2007 | |
|---|---|---|
| Equity balance at the beginning of the year | 143,883,298 | 140,614,057 |
| Allocation to trust capital | 4,800,000 | 4,800,000 |
| Transfer from income | (9,083,988) | 2,979,582 |
| 139,599,310 | 148,393,639 | |
| Less net donations | 5,808,492 | 4,510,341 |
| Equity balance at the end of the year | 133,790,818 | 143,883,298 |
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NZ Gazette 2008, No 127
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Eastern & Central Community Trust Incorporated Financial Statements
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💰 Finance & Revenue23 May 2008
Financial statements, Accounting policies, Foreign currency, Financial instruments, Donations, Property, Depreciation, Impairment, Employee benefits, GST, Income tax, Intangible assets, Leases, Net income from investments