In the News

Copyright 2022

Many not-for-profit organizations have discovered there can be strength in numbers. In recent years, the number of collaborations, partnerships and even full-scale mergers in the nonprofit sector have surged. These joint ventures can conserve resources, help with fundraising and, in many cases, expand the services each group provides.

Copyright 2022
Is your not-for-profit the same organization it was three years ago? Are your stakeholders the same now as then? What about your community and its support? It's been said that the only thing certain in life is change, so you likely answered "no" to each of these questions. Change is a key reason why your nonprofit needs to revisit and revise its strategic plan regularly. And you can make your strategic planning process as dynamic as change itself. But it takes focus and commitment.
Copyright 2022
It's critical for your organization to keep accurate tax records and maintain a good recordkeeping system. This way, you can respond to an IRS audit or prove compliance with various laws should it become necessary. However, you don't have to retain every paper document or electronic file that crosses your desk. The IRS requires organizations to keep certain essential documents on file. These records back up accounting entries, reported taxable income, expenses and deductions.
Copyright 2022
Not-for-profit organizations often struggle with valuing non-cash and in-kind donations, including the value of houses and other real estate. Whether for recordkeeping purposes or when helping donors understand proper valuation for their charitable tax deductions, the task isn't easy. Although the amount that a donor can deduct generally is based on the donation's fair market value (FMV), there's no single formula for calculating FMV for every type of gift. Note: A donor can't claim a tax deduction for the contribution of services. Thus, this article focuses on valuing gifts of property for tax purposes rather than financial accounting purposes.
Copyright 2022
Does your organization have a succession plan in place? And, if it does, is it well documented? Some not-for-profits delay detailed succession planning, thinking of it as a project they'll get to "someday." But that's a mistake. Like making future plans in your private life, creating a succession plan for your organization is a necessity. And the earlier you start planning, the better. You'll come across information that needs to be documented for the successor — and you might also spot some issues that need to be cleared up before the transition.
Copyright 2022
If your not-for-profit organization expects its board members to play a fundraising role, you probably already know how difficult it can be to motivate them. They're busy people, and even when they have excellent connections, they're not always comfortable asking those in their network for money — however noble the cause. Fortunately, there are ways you can help board members overcome their reservations.
Copyright 2022
So you think investment policies are only for not-for-profits with millions to invest? Not true. If your organization holds funds in reserve — for example, to cover emergencies or meet long-term goals — it's prudent to have investment policies. Such policies will help ensure that you manage reserve funds responsibly according to their purpose and take steps to minimize investment risk.
Copyright 2022
Let's say an established not-for-profit organization provides medical services to low-income families. The organization is approached by a group that wants to serve the same population with periodic reduced-cost dental clinics, and it has already lined up several large donations. The fledgling group, however, doesn't have 501(c)(3) status and wants the established organization to act as its fiscal sponsor.
Copyright 2022
With salaries on a plateau or rising only slightly at most not-for-profit organizations, employers should be alert to other ways to give their employees a financial break. Having an accountable plan for business expense reimbursement is one way to save your employees some money.
Copyright 2022
The IRS has repeatedly put employers on notice: It's cracking down on organizations that improperly classify workers as independent contractors instead of employees. Are you confident that your employee classifications would stand up to IRS scrutiny?

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