Are You Holding a Raffle?

This ticket to revenue carries compliance concerns Raffles are tried-and-true fundraising vehicles. They can be attractive to your constituents, easy to put together and profitable. But organizations need to put on their “compliance hats” when holding this activity. Each state has its own set of laws regulating raffles. And all organizations must comply with federal…

How You Should Respond After an Outside Audit

Regular outside financial audits are among the most effective tools for revealing financial risks in a timely manner. And they assure your donors and other stakeholders about your stability — so long as you respond to the results appropriately. Failing to act on issues identified in an audit isn’t only a waste of money. It…

CFOs Deliver Financial Know-how — But Does Your Nonprofit Really Need One?

Some executive directors, board members and others in nonprofit leadership roles may look at the financial side of their organization and muse, “We could do so much better.” You may think you can boost financial performance by hiring a chief financial officer to help “run the show.” But there’s a lot to consider before taking…

Program Service or Supporting Activity? Get Your Expense Allocation Right

The push for more transparency from nonprofits has placed a greater emphasis on how an organization’s expenses break down — in other words, how it uses its resources. In 2016, the Financial Accounting Standards Board (FASB) released a new rule that reflects this priority. While the rule has been in effect for almost two years,…

Sharpening Your Organization’s Accounting Function

Your nonprofit may be exempt from income tax, but financial and accounting responsibilities still abound: There are budgets to project and results to monitor. There are financial statements to prepare and payroll taxes to collect. And these are only some of the responsibilities that fall under the accounting umbrella. Are these tasks, and others, being…

Government Shutdown Means 990 Filing Delays

IMPORTANT: This currently impacts only those with 12/31 and 01/31 fiscal year ends. Government shutdowns are never helpful, more so when it occurs at the end of the year because of how it impacts the IRS and those whose fiscal year end is December 31st. As of right now, many types of individual and business…