2012-12-06 nonprofit accounting systems
DESCRIPTION
Successful management of a Nonprofit organization requires providing high-quality service, but at the same time, careful administration of expenses and improving processes are ongoing requirements. Spend more time securing grants and performing effective management with the right accounting solution in place. Learn how you can easily access and cross-reference data, automate tedious operations and administrative processes, and provide timely financial reports to run your organization more effectively.TRANSCRIPT
Thrive. Grow. Achieve.
NonProfit Financial Management & Accounting
Systems Seminar
Seth Zarny – PartnerBuu-Linh Tran – Senior ManagerJeremy Taro – Business Development
Date: 12/6/12
WHAT’S ON TAP
A. INTRODUCTION & AGENDA
B. CHALLENGES (GRANTS MANAGEMENT)
C. GRANTS MANAGEMENT SOLUTIONS
• Non-Financial Information
• Financial Information
D. FIELD OFFICE ACCOUNTING
E. FEDERAL REPORTING
F. DEMO (INTACCT & DYNAMICS GP)
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CHALLENGES - GRANTS
1. FINANCIAL REPORTING – MAINTAINING GRANT REPORTS/ DONOR REPORTS
2. TRACKING GRANT DOLLARS - MAINTAINING LARGE CHART OF ACCOUNTS
3. AVOID OVER SPENDING
4. GRANTS – TRACKING NON FINANCIAL INFORMATION & MANAGING GRANT INFORMATION
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CHALLENGES – FIELD OFFICE
1. PEOPLE (PRIORITIES/CULTURE/AUTHORITIES)
2. TECHNICAL CHALLENGES
3. DIFFERENT PROCESSES
4. MULTICURRENCY
5. DIFFERENT SYSTEMS
6. LOCATIONS
7. SUPPORT/ FINANCIAL REPORTING
REPORTING TO NECESSARY STAKEHOLDERS (BOARD OF DIRECTORS, DONORS, EXECUTIVES, PROGRAM MANAGERS, GRANTS MANAGERS, ETC.)
8. NONPROFITS MUST ACCOUNT FOR:
FUNDS, GRANTS, PROJECTS, PROGRAMS, AND MORE
9. DOCUMENTATION
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CHALLENGES WITH FEDERAL REPORTING & COMPLIANCE
IDENTIFY TOOLS TO ASSIST WITH FEDERAL REPORTING
• FAS 116 - ACCOUNTING FOR CONTRIBUTIONS
• FAS 117 - FINANCIAL STATEMENTS FOR NONPROFIT ORGANIZATIONS
• SEGREGATION AND AUDITING OF USES AND SOURCES OF FUNDS
• 501(C)(3) CHARITABLE VS. NON-EXEMPT ACTIVITIES
• IRS FORMS 990, ETC
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SOLUTION – TRACK NON-FINANCIAL DATA
1. INTACCT PROJECT ACCOUNTING/ USER DEFINED FIELDS
2. MICROSOFT DYNAMICS GP GRANTS MANAGEMENT/ EXTENDER
3. SHAREPOINT
4. FINANCIAL SYSTEM(S)
5. CUSTOM APPLICATION/ DATABASE
6. MS EXCEL / WORD
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SOLUTIONS – TRACK FINANCIAL DATA
INTACCT
DIMENSIONS
PROJECT ACCOUNTING MODULES
DYNAMICS GP
CHART OF ACCOUNT (COA) – TRACK GRANT ACTIVITIES THROUGH SEGMENT OF COA
ANALYTICAL ACCOUNTING (AA) – DIMENSIONS
OLYMPIC – USE PROJECT TO TRACK GRANT TRANSACTIONS
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SOLUTION – TRACK FINANCIAL DATA IN MICROSOFT DYNAMICS GP
Features Chart of Account
Analytical Accounting
Olympic Intacct
1.Track grant transactions X X X X
2. Track grant budgets for fiscal and grant period
X X X X
3. Prevent or provide warning when expenditure exceed grant revenue
X
4. Track employee time against grant
X X (Only w/ Project)
5. Track employee expense against grant (web-based application)
X X (only w/ Project)
6. Bill against the grant X X X X (only w/ Project)
7. Management Reporter (FRx)/ Financial Report by Project
X X X
8. Smartlist X X X
9. SSRS/ Custom report X X X X
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PROS AND CONS
Solutions Pros Cons
Chart of Account
Easy to maintain (Accounting dept control over COA)No sub-ledger to manageEasy to create report using MRCan slice and dice segment for reportingWork with MR/ existing report writer
Long COANot accommodate multiple year (grant yr vs fiscal yr)Maintain old accounts foreverData entryUnable to handle complex grant requirement (time entry, complex allocation, etc.)
Analytical Accounting
Shorten COA Prevent charging expenditure in excess of revenueWork with MR/ existing report writer
Maintain sub-ledger / resourceSeparate screen for data entryRequire reconciliationAdditional trainingAdditional configuration/setup
Olympic Project Accounting
Shorten COA Track employee time and expense against grantAllow for sophisticated allocationAllow for sophisticated billing
Maintain sub-ledger / resourceSeparate screen for data entryRequire reconciliationAdditional trainingAdditional configuration/setupHas separate reporting function
Intacct Project Accounting
Shorten COA Track employee time and expense against grant
Maintain sub-ledger / resourceRequire reconciliationAdditional trainingAdditional configuration/setup
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FIELD OFFICE ACCOUNTING - SUGGESTIONS
Challenges Suggestions
People Establish and document field office accounting processesProvide onsite training (processes/ system)Provide training @ home office (annually)Keep it simple (process/ accounting/ technology)
Technology Excel Remote access to GPOther system (QB)Maintenance factor/ Lag timeUser’s background Leverage on GP MC
Financial Report Report in local currencies (MR, SSRS)Easy access to reports
Documentation GP - Leverage on document management system integrationIntacct - Document imaging is part of core product
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FEDERAL REPORTING REQUIREMENTS
1. LEVERAGE MANAGEMENT REPORTER (MR) OR SQL REPORTING SERVICES (SSRS)
2. FORM 990
3. SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (SEFA)
4. FASB 117
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FORM 990
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FORM 990 – MANAGEMENT REPORTER
SEFA
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SEFA – MANAGEMENT REPORTER
FASB 117
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NONPROFITS USING INTACCT
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NONPROFITS USING MICROSOFT DYNAMICS GP
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GRANTS MANAGEMENT
DEMO
1. INTACCT
Dimension
Project
2. DYNAMICS GP
Grants Management
Analytical Accounting
Olympic
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Q&A
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THANK YOU!
Buu-Linh TranDirect: 301-279-6511E-mail: [email protected]
Seth ZarnyDirect: 301-279-6500E-mail: [email protected]
Jeremy TaroDirect: 301-279-6504E-mail: [email protected]