Microsoft Money for non-profit acounting
Gordon
I want to start a non-profit foundation. For the foreseeable future,
it will be operated on a shoestring. I need two recommendations
please.
1. Is there a good textbook out there on non-profit accounting?
2. Will Microsoft Money Small Business Version be sufficient software
for a non-profit organization.
If any of you out there have any suggestions as to other links I can
go to for eduacation, please share them.
Thanks you,
NC
On Jun 13, 8:32 am, Gordon <jillandgor...@sbcglobal.net> wrote:
>
> I want to start a non-profit foundation.
What kind of foundation: independent, company-sponsored, operating, or
community?
> 1. Is there a good textbook out there on non-profit accounting?
Non-profit accounting is not different in principle from for-profit
accounting; the only difference is, a non-profit retains all of its
earnings. This said, if you want to qualify for grants, there are
specific rules set by grant makers that you must follow.
Generally speaking though, you don't want to do non-profit accounting
by yourself. Consider engaging a specialist accounting firm at least
to prepare your tax returns. While you are at it, ask them which
software they recommend.
> 2. Will Microsoft Money Small Business Version be sufficient
> software for a non-profit organization.
It's been a while since I looked at it, so I can't recall the
specifics, but here's a way to check. The IRS requires that all non-
profits submit a Form 990 (Return of Organization Exempt From Income
Tax) annually. To complete Form 990, you need to be able to track
your income and expenses on least two, sometimes three, levels.
First, you have to have an object expense label, e.g., "Office Rent".
Second, you have to have a functional expense label, e.g., program
services (anything that's mission-related goes here), fundraising, or
operations. Third, anything related to program services must be
catrgorized by project (obviously, if you only have one project, this
is fairly easy to accomplish, but do you ever?) So the simplest way
to assess suitablility of a particular accounting package for non-
profit use is to figure out it it can track income and expenses by
object, function, and project (which should be fairly easy to
establish with a free trial version).
Cheers,
NC