Lesson 3 – Checklist

 

Checklist

Nonprofit accounting software should be able to handle the following:

  • Segregate different funds within an organization
  • Segregate expenses by functional area, program and support services – management and general and fundraising
  • Be able to track revenue restrictions
  • Track inter-fund activity (Due to/from Other Funds)
  • Present financial statements in accordance with FASB or GASB requirements
  • Individual tracking of project and grant expenditures
  • Generate budget reports by projects and grants
  • Handle grants with different fiscal years and periods greater than 12 months
  • Allocate indirect expenses between different programs
  • Potential to handle encumbrances