When preparing your nonprofit IRS Form 990, key reporting elements must be included for proper preparation.
In order to fully understand nonprofit accounting, you must be able to answer key basic questions. Answers to these questions form the foundation for understanding the difference between nonprofit and for-profit accounting.
Nonprofit financial management is the first step in ensuring that your nonprofit organization is in good fiscal health.
Without strict nonprofit internal controls, it’s easy for someone to abuse your funds and take advantage of donors and the organization.
Developing a fair and equitable indirect cost allocations process is key to proper nonprofit financial management and reporting.
Nonprofit organizations are subject to unique accounting and reporting requirements where expenses must be reported by functional areas.
Hiring professionally-trained accountants and bookkeepers can prevent costly nonprofit accounting errors down the road.
Nonprofit administrative expenses are a necessary investment in your infrastructure and operations and are essential for your organization to be more sustainable to be able to fulfill your mission.
Accounting for nonprofits is the best way to measure success in terms of fulfilling your nonprofit mission.
One of the major differences between for profit and nonprofit accounting is the method used to categorize expenses known as direct cost allocations.