Your PTO will need to be a completely separate entity. Along with IMovePeople's advice, let me add:
1) Apply for an EIN (Employee Identification Number) with the IRS so your PTO has its own tax ID #. This is a very simple step. Just complete form SS4. (no fee)
2) Set up your own PTO checking account (using the EIN, not someone's social security number.)
3)Organize the new constitution and bylaws for the PTO, which may be very similar to those of the PTA.
4) Find out what is required in your state to be a tax exempt organization - mostly so you don't have to collect/pay sales tax.
5) Check into the steps required for your state to incorporate as a non-profit in your state. Note - as part of this step you need to make sure the name you plan to use is available. It would also be smart to know about any particular language or requirements for your charter documents (constitution/articles of association/articles of incorporation) so this can be rolled into #3.
IANALB - Read read and read the posts on this site.
#1 - Get your own 501c3 status.
#2 - While you are in the process - continue to operate as a PTA and spend those monies.
#3 - Run new fundraisers through PTO so that you have some money. (You can operate without having actually obtained your not-for-profit status).
#4 - Don't inform your regional, state or whatever higher ups in PTA that you are planning to make this change until you have your new status.
Read the other posts on this site. Should you have specific questions - post them and we will be happy to help.
Good luck and welcome to the WONDERFUL world of PTO!
We are just about to start a PTO in our school. We had a PTA last year. We have so many questions concerning this topic. We also have funds from PTA that we dont know what to do with or how do we get access to the funds as a PTO organization? Can we use the 501c3 status of our school or are we going to have to get our own separate and apart? Thank you so much for anyone's advice in advance. :confused:
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