Funding Overview

Sport Clubs are eligible for limited funding through Recreational Sports. Clubs are expected to raise money from other sources to fund the majority of club expenses. Sport Club funds must be used for the benefit of the entire group according to University rules and regulations. Funds for Sport Clubs typically come from these four sources:

1. Membership Dues 

2. Fundraising Activities

3. Allocation from Recreational Sports

4. Donations (Tax deductible if proper procedures are followed)

Sport Club accounts are part of the University of Texas at Austin. Since the official accounts can not be easily displayed, Sport Club Staff maintain and update shadow accounts in Internal Services. The club’s treasurer is also required to keep an up to date records of the club’s financial accounts as a check and balance against Internal Services. Club treasurers should reconcile accounts at least once per month. Clubs will be required to submit reconciling for their accounts at the end of each year. For assistance in creating a ledger, please set up a meeting with your advisor.

It is also the club’s responsibility to maintain accurate financial records for individual club members to ensure that all team dues are paid.

The official university records of club accounts are not Internal Services. Adjustments can be made to the Internal Services accounts to match the official university records.

Off-Campus Banking Prohibited

University rules prohibit Sport Clubs from having off-campus banking accounts. As sponsored student organizations, Recreational Sports assumes responsibility for accepting financial accountability for all funds collected or spent. The use of Venmo, Paypal, Cash App, GoFundMe, or similar platforms is prohibited.

Sport Club Accounts Descriptions

There are three (3) accounts all Sport Clubs have, and each can be used for different purchases. All of these are University accounts, regardless of where the money came from, and the Sport Club Staff has the final discretion of usage.

Allocation Account

The Sport Club Association is allocated a fixed amount of Recreational Sports funds from tuition. The Sport Club Association and University fiscal year runs September 1 to August 31. Annual Expenses Report for each academic year are due in the spring. Additional requests may not be submitted at any other time during the year. Any remaining funds not spent will NOT carry over to the next fiscal year. All funds must be used by April 15th. 

Budget Allocation Process

A club’s budget allocation is determined by a percent of average annual expenses for each club. The percentage will be created based on the budget for allocation and the total expenses across clubs. No club will be allocated more than 15%. 

Additional Expenses (Out of Pocket Expenses)

Additional expenses will be any expenditures that individuals had to pay directly instead of using club accounts (e.g., plane tickets). Club leaders should review their club’s additional expenses and see if the club needs to request a projected increase budget on the best information available. If major changes are expected in the future, indicate why. Attach as much supporting documentation as is feasible. Make reasonable requests that are justifiable. 

Donations Account

Each club is eligible to receive tax-deductible donations. Since only those individuals who meet certain IRS stipulations are eligible to deduct contributions, each individual should check with his/her tax adviser before making a donation if tax deductibility is a consideration. Any remaining funds not spent WILL carry over to the next fiscal year. Club members are not permitted to pay their membership dues into their Donation Account.

Student Org Account

All other club funds are deposited here (dues, entry fees, profit shares, fundraisers, etc.). Any remaining funds not spent WILL carry over to the next fiscal year.

Tax Exemption

All sponsored sport clubs are tax exempt through their Recreational Sports accounts. Certain transactions may still incur taxes.

• We must get Sales Tax exemption from any company in the State of Texas.

• You should not plan to be initially charged tax and have it refunded at a later date.

• If your vendor requests a copy of the UT W-9, please contact your Sport Club Advisor.

• Attached is the copy of our Sales Tax exemption Form if your vendor asks.

• The Vendor Tax ID number for UT Austin is 74-6000203.