Budgeting & Accounting
Cash Reserve
Money a chapter keeps on hand to absorb unpaid dues, emergencies, or slow terms.
Updated August 9, 2026A cash reserve is savings the chapter holds outside its operating budget as a financial cushion. A common rule of thumb is keeping 10-20% of the annual budget in reserve to cover unexpected costs, a weak recruitment year, or members who don't pay. Funding the reserve as a deliberate budget line keeps it from being spent on operations.