What is Nonprofit Enterprise Risk Management
A solid ERM plan can help your nonprofit to save money and emerge from crises stronger than ever!
5 Ways a Virtual Accountant Can Help with a Church’s Finances
Wondering whether your church really needs accounting services? Here are 5 ways a virtual accountant can help improve your church finances.
Is Your Financial Reporting System Still Working for You?
Take a look at some of the ways you can assess your reporting system and make changes to adapt to your individual needs.
Decoding the Essentials: Key Components of Nonprofit Financial Statements
In this article, we will delve into the key components of nonprofit financial statements, exploring their purpose, structure, and how to interpret the information they convey.
It’s been three years since COVID-19 hit. How have nonprofit finances changed?
It’s been three years since the COVID-19 pandemic “stopped the world.” In its wake, we have seen a significant, foundational impact on economies worldwide — and the nonprofit sector is no exception. From reduced funding and flat budgets to a surge in demand for services, nonprofits were challenged to adapt and rebuild on a massive scale. Even now, after the pandemic has seemingly faded into the past like a bizarre alternate reality, nonprofits are still feeling pressure from the impact of inflation on donors, in the ending of much emergency federal financial support, and in the scarcity of available (or retainable) talent. In this blog post, we'll explore a few pieces of how nonprofit finances have changed in the past three years since the pandemic, and what long-term effects you can consider as you navigate your own nonprofit’s finances. It’s been three years since the COVID-19 pandemic “stopped the world.” In its wake, we have seen a significant, foundational impact on economies worldwide — and the nonprofit sector is no exception. From reduced funding and flat budgets to a surge in demand for services, nonprofits were challenged to adapt and rebuild on a massive scale. Even now, after the pandemic has seemingly faded into the past like a bizarre alternate reality, nonprofits are still feeling pressure from the impact of inflation on donors, in the ending of much emergency federal financial support, and in the scarcity of available (or retainable) talent.
Questions to Ask an Accounting Firm before Working Together
The best way to find the right accountant for your company is by simply asking questions
It’s Never too Late to Get Your Nonprofit’s Finances in Order!
A lack of order in finances can keep nonprofits from succeeding but it's never too late to get your nonprofit’s finances in order.
10 tips to build financial literacy within a nonprofit
Build your nonprofit’s financial literacy and get back on track. Here are 10 tips from top virtual accounting pros.
The Corporate Transparency Act (CTA) and Its Impact on Nonprofits in 2024
The Corporate Transparency Act (CTA), which came into effect on January 1, 2024, represents a significant shift in the regulatory landscape for U.S. businesses, including any non-exempt nonprofit organizations such as churches and charitable organizations. The implementation of the Corporate Transparency Act marks a pivotal moment in the fight against financial crimes, signaling a concerted effort to strengthen accountability and integrity within the business and nonprofit sectors. This legislation aims to enhance financial transparency and combat illicit activities by requiring certain entities to report beneficial ownership information to the Financial Crimes Enforcement Network (FinCEN). By mandating the disclosure of beneficial ownership details, the CTA seeks to create a more transparent environment that deters illicit activities and promotes a culture of compliance across diverse entities operating within the United States. What Nonprofits Need to Know Exemptions for Nonprofits If your nonprofit has applied for 501(c) status but has not yet received it, you could potentially be subject to reporting requirements under the Corporate Transparency Act (CTA). Nonprofits with an active 501(c) status, political organizations under Section 527(e)(1), or charitable or split-interest trusts are exempt from the CTA's reporting requirements. This broad exemption covers a wide range of nonprofit organizations, including most charities, schools, religious organizations, private foundations, social welfare organizations, labor organizations, trade associations, chambers of commerce, and social clubs. It's important to note that the exemption applies without regard to whether the organization has filed an application for recognition of tax-exempt status pursuant to IRC 508(a) Implications for Noncompliant Nonprofits Nonprofits that do not meet the exemption criteria must comply with the CTA's reporting requirements. Examples of Noncompliant Nonprofits Defective Drafting: Nonprofit organizations with defective drafting of their Articles of…