Lesson 2 – Nonprofit vs For-Profit Accounting Software

Nonprofit vs For-Profit Software

Financial management and reporting for nonprofit organizations differs substantially from the for-profit world. As a fiscal manager, you must keep track of multiple funds for rigorous funding organization audits and provide information for the board and management, and also make appropriate money management decisions to ensure the financial health of the organization.

More than likely, you are using an off the shelf package like QuickBooks or Peachtree (Sage). On the surface, they do a fantastic job. But, the downside of using these software applications are the hidden costs.

How many of you spend hours a month allocating personnel salaries and related fringe benefits to different grants and programs? Do you have to prepare reports in a separate spreadsheet package? I’m sure you dread preparing for both your internal and external audits. The time you will save using nonprofit accounting software will more than make up for the extra cost in a short period of time.