Implementing the financial accounting standards board (FASB) Accounting Standards Update (ASU) 2016-14, Presentation of Financial Statements for Not-for-Profit entities can be confusing. The updated standard states nonprofits must present an analysis of expenses by their function and natural expense classifications in one location, such as in a statement of functional expenses.

Charitable giving is appreciated at every level. Any time an individual gives, no matter the amount, it is a precious gift. Some donors may be in a position to give to a nonprofit they are passionate about. In this case, a donor advised fund (DAF) might be an effective way to maximize their gifts. Donor advised funds are charitable investment accounts established at a public charity to support charitable 501(c)(3) organizations and allow donors to take an immediate tax deduc Read More >>

Sending a thank you note after receiving a charitable gift to your nonprofit seems like a simple, but polite, way to recognize a donor. In reality, this acknowledgement is an extremely important piece of the donor/nonprofit relationship.

More Than Thank You

A thank you note is truly more than just a thank you. The IRS imposes recordkeeping and substantiation rules to both nonprofits and to donors.

Donors are responsible for obtaining written acknowledgment from a charity Read More >>

Looking at Leases with Molly Stinn: A Six-Part Series

Molly Stinn, CPA, is an Equity Director at the firm.

The new lease standard presents sweeping changes in the way we think about and record leases in our financial statements. Previous blog posts have discussed elements of the new standards specifically. Understanding the impact of the new standards is essential, but determining a game plan will make the implementation process go much more smoothly.

 

Transitiona

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Topic two rounds out our NFP Financial Reporting Changes series! To recap, in 2011 the FASB began a project to improve Not-for-Profits’ (NFPs’) financial reporting after concluding that the existing standards are sound but that it was time to determine improvements that could be made.  In 2015, the FASB presented its findings/improvements to the public and received significant and mixed feedback. As a result the FASB decided to divide the project into two phases. Our ser Read More >>

Ann Emery, CPA explains what nonprofits need to watch out for with unrelated business income tax.

Nonprofit organizations facing increased competition for donor dollars may start to seek out income diversification, meaning they are considering alternative revenue streams outside their exempt purpose. While this may raise additional funds, it could possibly subject tax-exempt entities to unrelated business income tax (UBIT).

Why UBIT?

Congress added the UBIT pro Read More >>

As mentioned in our series intro, in 2011 the FASB began a project to improve Not-for-Profits’ (NFPs’) financial reporting. The FASB concluded that the existing standards are sound but that it was time to determine improvements that could be made. Indeed the current not-for-profit financial reporting has held up since 1993, well over 20 years, but stakeholders expressed concern over the complexity, insufficient transparency, and limited use of certain aspects of the m Read More >>

Will Hubbard, CPA, CFE explains what changes you can expect to see with NFP reporting. 

In 2011 the FASB began a project to improve Not-for-Profits’ (NFPs) financial reporting. There are two phases to the project and phase one has since been concluded. The new standard will be effective for annual periods in fiscal years beginning after December 15, 2017 and interim periods in fiscal years beginning after December 15, 2018. Early adoption is permitted. Is your organizati Read More >>