This study aims to determine the policies of the leader of Baitul Maal Wat Tamwil Universitas Muhammadiyah Yogyakarta (BMT UMY) in placing Baitul Maal functions at the institution of Baitul Maal Wa Tamwil UMY and to determine the optimalization of Baitul Maal function and their management in the Baitul Maal Wa Tamwil UMY. This type of research is qualitative research with data collection techniques by using interview, observation and documentation. The informants in this study were Leaders of BMT UMY, baitul maal staff of BMT UMY and Mustahiq of the maal (treasure) funds. The results of this research show that the policy and Leadership of BMT UMY in placing the Baitul Maal function is not yet comprehensively running and placing the Baitul Maal function, need to separating management between Baitul Maal and Baitul Tamwil, BMT UMY also need to put Baitul Maal in proportion to the Baitul Tamwil function. To analyze this research the author uses the theory of George R Terry as the optimal benchmark starting from the process of planning, organizing, mobilizing and controlling.