Category: not for profit

You might be tempted to think that “accountability” is just the latest in a long line of management buzzwords. But if properly embraced, it can transform an organization. When nonprofit leaders consistently own outcomes (whether successes or setbacks), they foster a proactive mindset that anticipates challenges and addresses them head-on. The result? Stronger performance, healthier…

When external conditions change — whether due to economic shifts, policy adjustments or evolving donor priorities — nonprofits that depend on one or two funding sources often face greater financial risk. Organizations that intentionally diversify their revenue streams are better positioned to adapt quickly and continue delivering on their mission. Strategically broadening a funding mix…

Accountable plans remain the most tax-efficient way for nonprofits to reimburse employee business expenses. When properly structured and implemented, these plans allow reimbursements to be excluded from employees’ taxable income and save payroll taxes for the organization. Eligible expenses To qualify under an accountable plan, reimbursements must meet three core IRS criteria: 1) they must be…

Tension between Accounting and Development teams is more than a simple workplace issue. It can have real financial consequences for a nonprofit organization. Misaligned processes and poor communication can affect financial reporting, compliance and even grant funding. Strengthening coordination between these departments may require refining procedures and fostering collaboration. Speaking different financial languages The first…

Nonprofit leaders might assume that enterprise risk management (ERM) is something only large, complex organizations need (or can afford). But the truth is, organizations of all sizes can benefit from an ERM framework — and it doesn’t have to be complicated or resource-intensive. Whether your organization has a handful of staff or multiple departments, ERM…

With fewer federal grants available to not-for-profit organizations, the competition to qualify for funding — from all sources, including foundations — has become more intense. Now, more than ever, your nonprofit needs to submit sharp, clear and attention-getting grant proposals to potential funders. Many organizations are enlisting AI tools to generate proposals. However, it remains…

Does your nonprofit start its budget process from scratch each year or do you mostly make simple adjustments to the previous year’s budget? Either way, if your organization operates on a calendar-year basis, it’s probably time to start thinking about this annual chore. Issues such as reduced grant funding and increased service needs can take…

In general, nonprofits can’t use restricted assets for purposes other than those specified by the original donor. Board-designated assets (or board-designated funds) are another matter. These are unrestricted funds that have been reserved by an organization’s leadership for a special purpose or a period of time. Your board can later decide to remove designations. But…

With fewer federal grants available to not-for-profit organizations, the competition to qualify for funding — from all sources, including foundations — has become more intense. Now, more than ever, your nonprofit needs to submit sharp, clear and attention-getting grant proposals to potential funders. Many organizations are enlisting AI tools to generate proposals. However, it remains…

Even if your not-for-profit isn’t legally required to obtain independent audits, such audits can enhance financial transparency, increase accountability and help you build trust with your stakeholders. But how do you find a truly independent auditor? Ensuring independence requires more than hiring an outside firm. The American Institute of Certified Public Accountants (AICPA) Code of…