Also, however, any officer or employee who has authority to sign checks on the union's account is "handling" union funds and must be bonded even if he/she has no physical contact with the funds. If you must be bonded to handle cash, you may have to secure the bond through a surety company. [How much of a bond do I pay?]. If your union's bonding requirements have increased from the last year's coverage, obtain amended coverage immediately. State Farm Insurance: Who Needs Employee Dishonesty/Fidelity Bond Coverage? Finance Fact Checked What Is Bonding of Employees? .manual-search ul.usa-list li {max-width:100%;} If a customer reports something missing, the insurance company that bonded the employee covers the loss. The coverage parameters of bonds can also be variable. The overall purpose of the bonding of employees is to protect employers from incurring losses when and if covered employees engage in actions that ultimately create financial issues for the business. Employers bond employees who handle cash receipts because fidelity bonds reduce the possibility of employing dishonest individuals and a. In a situation like this, the bonding process can begin right during hiring. The second requires States to maintain methods of administration which prohibit
Chapter 6 SB Flashcards | Quizlet By implication an agreement is an accepted proposal. (b) Scope. In addition, the claim process will normally require the ability to identify the specifics of how the employees actions have resulted in a real financial loss. Even that simple view though, comes with an asterisk, because the employee and employer can be the same person, as weve seen above. Bonding employees who handle cash is important because it: A) ensures employees will not steal company property. Best Place To Work 2022, Transportation, Logistics, and Distribution. Net Purchases and the Cost of Goods Purchased, The Cost of Goods Available for Sale and the Cost of Goods Sold, Financial Statements for a Merchandising Company, Closing Entries for a Merchandising Company, The Work Sheet When Closing Entries Update Inventory, Inventory Errors and Financial Statements. Malcolms other interests include collecting vinyl records, minor For example, a person who receives dues, fees, etc., from members is clearly "handling" union funds and therefore must be bonded. ","slug":"what-are-accounting-journals","categoryList":["business-careers-money","business","accounting","general-accounting"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/277429"}},{"articleId":277423,"title":"How to Read Corporate Annual Reports","slug":"how-to-read-corporate-annual-reports","categoryList":["business-careers-money","business","accounting","general-accounting"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/277423"}},{"articleId":277418,"title":"Showing the Money: The Statement of Cash Flows","slug":"showing-the-money-the-statement-of-cash-flows","categoryList":["business-careers-money","business","accounting","general-accounting"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/277418"}},{"articleId":277410,"title":"10 Accounting Career Opportunities","slug":"10-accounting-career-opportunities","categoryList":["business-careers-money","business","accounting","general-accounting"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/277410"}}]},"hasRelatedBookFromSearch":true,"relatedBook":{"bookId":282117,"slug":"corporate-finance-for-dummies","isbn":"9781119850311","categoryList":["business-careers-money","business","accounting","general-accounting"],"amazon":{"default":"https://www.amazon.com/gp/product/1119850312/ref=as_li_tl?ie=UTF8&tag=wiley01-20","ca":"https://www.amazon.ca/gp/product/1119850312/ref=as_li_tl?ie=UTF8&tag=wiley01-20","indigo_ca":"http://www.tkqlhce.com/click-9208661-13710633?url=https://www.chapters.indigo.ca/en-ca/books/product/1119850312-item.html&cjsku=978111945484","gb":"https://www.amazon.co.uk/gp/product/1119850312/ref=as_li_tl?ie=UTF8&tag=wiley01-20","de":"https://www.amazon.de/gp/product/1119850312/ref=as_li_tl?ie=UTF8&tag=wiley01-20"},"image":{"src":"https://catalogimages.wiley.com/images/db/jimages/9781119850311.jpg","width":250,"height":350},"title":"Corporate Finance For Dummies","testBankPinActivationLink":"","bookOutOfPrint":true,"authorsInfo":"\n
Michael Taillard, PhD, MBA, owns and operates OPII Schools, an award-winning national private school and tutoring company designed as a philanthropic experiment in macroeconomic cash flows as a form of urban renewal.
","authors":[{"authorId":9764,"name":"Michael Taillard","slug":"michael-taillard","description":"
Michael Taillard, PhD, MBA, owns and operates OPII Schools, an award-winning national private school and tutoring company designed as a philanthropic experiment in macroeconomic cash flows as a form of urban renewal.
","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9764"}}],"_links":{"self":"https://dummies-api.dummies.com/v2/books/282117"}},"collections":[],"articleAds":{"footerAd":"
","rightAd":"
"},"articleType":{"articleType":"Articles","articleList":null,"content":null,"videoInfo":{"videoId":null,"name":null,"accountId":null,"playerId":null,"thumbnailUrl":null,"description":null,"uploadDate":null}},"sponsorship":{"sponsorshipPage":false,"backgroundImage":{"src":null,"width":0,"height":0},"brandingLine":"","brandingLink":"","brandingLogo":{"src":null,"width":0,"height":0},"sponsorAd":"","sponsorEbookTitle":"","sponsorEbookLink":"","sponsorEbookImage":{"src":null,"width":0,"height":0}},"primaryLearningPath":"Advance","lifeExpectancy":null,"lifeExpectancySetFrom":null,"dummiesForKids":"no","sponsoredContent":"no","adInfo":"","adPairKey":[]},"status":"publish","visibility":"public","articleId":189090},"articleLoadedStatus":"success"},"listState":{"list":{},"objectTitle":"","status":"initial","pageType":null,"objectId":null,"page":1,"sortField":"time","sortOrder":1,"categoriesIds":[],"articleTypes":[],"filterData":{},"filterDataLoadedStatus":"initial","pageSize":10},"adsState":{"pageScripts":{"headers":{"timestamp":"2023-06-27T10:50:01+00:00"},"adsId":0,"data":{"scripts":[{"pages":["all"],"location":"header","script":"\r\n","enabled":false},{"pages":["all"],"location":"header","script":"\r\n