Hi I am Andrew Swales from BBS Accounting
Carrying on in our advice column for new lawyers today I am going to discuss the correct procedures for transferring money from your trust to general account
Money is transferred from trust to general when a portion or all work on a matter is complete. An invoice must be issued to the client in advance of the transfer and funds can be transferred in one of three ways: By cheque, in person at the bank, or online.
In all three cases it is key to have the principal lawyer’s signature to authorize the transfer.
When transferring money at the bank a letter should be provided to the bank with the Lawyers signature outlining the details of the payment and a copy of this letter should be kept in the Lawyers records.
When transferring funds online a Form 9A will need to be filled out and signed by the lawyer.
Finally when a cheque is issued to transfer funds the lawyer’s signature is required.
If you have any questions about transferring funds please call, email, or visit our website at bbsaccounting.ca