Nonprofit financial planning made easy

Nonprofit financial planning made easy

[...]... the nonprofit s existence Although idealistic aims guide the planning process and dictate a nonprofit s priorities, accomplishment of the goal can be enhanced with astute planning Readers who are familiar with business management will recognize the planning processes discussed in this book Similar to the income tax rules concerning tax-exempt nonprofits discussed in Chapter 8, financial planning for nonprofit. .. for nonprofits are explored and reviewed in some detail, with illustrations, examples, checklists, and model forms As this chapter explains, the concepts and planning methods used by businesses are germane and can be tailored to suit a nonprofit s needs The financial planning checklist at the end of this chapter is designed as a comprehensive survey of financial planning issues that face a nonprofit Planning. .. cash flow planning, fiscal controls, and a lot of goodwill Financial planning for nonprofits, like a nonprofit s very purpose for existence, is based on the philosophical aspirations of persons joining together to accomplish mutual goals The very purpose for existence of a nonprofit is based on hope, sometimes on prayer, and almost always on dreams Dreams can be unrealistic and can make financial planning. .. 12:56:01 PM Preface Financial planning contributes significantly to the success of a nonprofit organization and allows it to better accomplish its mission Planning tasks are challenging and too often are overlooked In this time of shrinking governmental support for nonprofit organizations, astute use of available resources following a well-developed financial plan may be the key to a nonprofit s survival... Treasurer and the Chief Financial Officer Request for Proposal for Audit Conflict-of-Interest Questionnaire for Board Members IRS Version of Conflict-of-Interest Policy Financial Planning Cycles The Balance Between the Mission and Financial Resources Prioritizing Organizational Objectives Chart for Weighing Choices: Financial Solutions for Tight Budgets Holy Spirit Church Statement of Financial Position (December... Useful Ledgers and Financial Files Fund Accounting Computerized Accounting Chart of Accounts National Standard Functional Expense Categories Why a Double Entry? Choosing a Method Advantages of Cash Method Why Use the Accrual Method? Design of the Financials FASB, GAAP, and Nonprofits Specific Standards for Nonprofits Other Nonprofit Reporting Internal Controls Chapter 7: Special Financial Tools Financial Indicators... Guide for Nonprofits (2001, online version, 2004), Tax Planning and Compliance for Tax-Exempt Organizations, 4th edition (2004), Financial Planning for Nonprofit Organizations (1996), Private Foundations: Tax Law and Compliance, 2nd edition (2003), and The Legal Answer Book for Private Foundations (2001), coauthored with Bruce R Hopkins Jody serves on the Financial Accounting and Transparency Group created... groups: • The Panel Twenty-four nonprofit leaders who reflect the reach and diversity of the country’s nonprofit organizations • The Citizen Advisory Group Nine leaders of America’s business, educational, media, political, and religious institutions • The Expert Advisory Group Eight of the foremost scholars and practitioners in nonprofit operations • The Work Groups More than 100 nonprofit practitioners are... Exhibit 3.5 Exhibit 3.6 Financial Management Activities in Nonprofit Organizations Financial Planning Checklist for Nonprofit Organizations State Association of Nonprofit Managers Organization Chart Endowed Educational Institution Investment Management Organization SHAPE Organizational Structure for Stabilization and Preservation A Board Member’s Checklist of Fiduciary Duties Inventory of Financial Reports... Revision • Direct and Indirect Costs PLANNING AND BUDGETING Exhibit 1.1 Financial Management Activities in Nonprofit Organizations Tax Compliance; Accounting Procedures Manual; Computers; Filing Systems; Staffing; Selecting an Auditor; Internal Controls Copyright 1986 The Support Center • Check Writing • Deposits • Bank Reconcilation • Bookkeeping – Journals – Ledgers FINANCIAL DATA 6 Introductory Concepts