Summer hours are in effect: Our offices close at NOON on Fridays from May 17th to July 12th
Our offices are closed tomorrow 1/7/25 from 8am – 1pm for a firm event. Thank you.
Summer hours are in effect: Our offices close at NOON on Fridays from May 17th to July 12th
Our offices are closed tomorrow 1/7/25 from 8am – 1pm for a firm event. Thank you.
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SKR+Co Nonprofit Newsletter
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Meet our Nonprofit Specialists
Steve Hochstetter, CPA, CVA, Audit Partner
Our Nonprofit Services
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When reviewing financial statements, nonprofit board members and managers sometimes make the mistake of focusing solely on bottom-line figures, but these statements also may include a wealth of information in their disclosures. Savvy constituents and potential supporters know this, so nonprofit executives need to be familiar with the common types of disclosures and the information they make available for scrutiny. This article notes the information that statements provide regarding accounting policies, related party transactions, contingencies and other matters. A sidebar describes a particular Form 990 disclosure that has gotten renewed attention.
Fraud doesn’t just hurt a nonprofit’s bottom line — it also could do devastating damage to its reputation. However, this article discusses how, by implementing some simple controls, an organization can help protect itself from these risks. These controls involve segregation of accounting duties, fraud awareness training for all employees, establishment of a fraud hotline, and risk assessment.
Types of funding vary greatly in how they can — or cannot — be used. This article discusses the differences between permanently restricted funds, temporarily restricted funds and unrestricted funds, and how to beef up donations of the latter.
In this issue, “Newsbits” takes a look at Office of Management and Budget rules that reduce the burden on smaller nonprofits by increasing the threshold that triggers compliance audits. It also discusses a study showing that most organizations have room for improvement with online fundraising, and notes an online tool that provides free and open access to data on nearly 82,000 independent, corporate, community and grantmaking operating foundations.
While board members typically bring a variety of talents and expertise to the table, they don’t always have extensive experience in financial and accounting matters. But they can’t properly perform their functions if they don’t obtain and understand information about the organization’s financial position. This article explains how to best communicate the essential financial information board members need. It looks at the specific kinds of information they should receive and how it can be presented in a user-friendly format. A sidebar notes that a dashboard — a one- or two-page snapshot of key metrics — may be especially useful in some instances.
If an activity conducted by a nonprofit is a trade or business carried on regularly, and not substantially related to furthering its exempt purpose, the income generated is considered unrelated business income (UBI). And accumulating too much can subject the nonprofit to taxes — and even threaten its tax-exempt status. This article explains what kinds of activities do and do not generate UBI.
Peer-to-peer fundraising events — for example, walks and runs — have become one of the most common ways for nonprofits to raise money. This article offers tips for maximizing and safeguarding those funds. It observes that one of the most effective ways to encourage fundraising by participants is to set goals, and notes the importance of implementing appropriate financial controls from the outset.
Many nonprofits have started their own audit committees over the past decade, but have learned the hard way that good intentions aren’t enough to ensure an effective committee — both the nonprofit and committee members must fully understand the committee’s role and responsibilities. This article describes the purpose of an audit committee 
In the recent tough economic times, many nonprofits froze wages, awarded minimum pay increases and/or cut benefits, all the while asking employees to take on new 
This issue’s “Newsbits” looks at a new rule from the Financial Accounting Standards Board’s Emerging Issues Task Force (EITF) addressing the proper accounting for services received from personnel of an affiliate for which the affiliate doesn't seek compensation. Newsbits also discusses a study indicating that donations of $1 million or more come mostly from local donors. Also discussed is a new website from an organization that’s dedicated to preserving the tax deduction for those who give to charities.
Notice of an IRS audit may be unnerving to a nonprofit, but understanding the nuts and bolts of IRS reviews can help reduce its risk of running into trouble. This article looks at the three types of IRS reviews and how the agency selects an organization for scrutiny. A sidebar lists some of the matters that a particular type of review may cover.
One of the top priorities for nonprofits is engaging with their supporters and building relationships. It’s no surprise, then, that interest is surging in technology that can help nonprofits do just that. This article shows how organizations can maximize the potential of current technology tools by developing mobile websites and apps, leveraging social networks and expanding their Web presence. A sidebar discusses specific metrics to use in evaluating technology investments.
Nonprofits that are suffering a lack of either financial or human resources might want to consider joining forces with another nonprofit. When researched and executed carefully, a merger can make both organizations stronger by building on their complementary skills. But there are questions to ask and a variety of hurdles to overcome; this article looks at some of them.
Effective cash flow management involves more than taking annual budget figures and dividing by 12 to come up with a static, monthly amount – after all, costs can vary significantly from month to month for a variety of reasons. This article explains how to prepare a cash flow report and how a CPA can help ensure that it's used to a nonprofit's best advantage. A sidebar discusses how to make decisions based on the report.
In this issue, "Newsbits" takes a quick look at how to reach younger donors through smartphones; shows why charities that have recently adopted a more conservative approach to valuing corporate product donations can, with Charity Navigator's help, make past financial data be more comparative; and cites a survey indicating that 66% of U.S. nonprofits need pro bono services more than any other volunteer work.
Do you bite your nails before your not-for-profit’s external audit each year? Does your staff start showing signs of anxiety in anticipation of the auditors walking in the door? If this sounds like your situation, take a deep breath. Here are five tips for making the audit experience run more smoothly for you and your auditors.
There is much talk about accountability, especially financial accountability for charitable and other exempt organizations. Nonprofits need to embrace accountability to protect the organization and its people, to demonstrate openness and forthrightness in external dealings and to support the greater good. Embracing accountability also helps not-for-profits fulfill their fiduciary responsibilities to donors, constituents and the public. But how can nonprofits truly embrace this abstract term?
If you’re like many nonprofits, you probably have an accountable plan for employee business expense reimbursements. If you don’t, you’re at risk for having to add reimbursements to your employees’ wages for income tax and Social Security tax purposes. But do you have the necessary policies and procedures in place to comply with IRS requirements? Here are eight tips for making sure that your plan is beyond reproach.
About two-thirds (67%) of the not-for-profit executive directors who participated in the Daring to Lead 2011 study, sponsored by the Meyer Foundation and CompassPoint Nonprofit Services, said they plan to leave their current jobs within five years. The percentage was somewhat lower than in the prerecession 2006 study, in which 75% of participating executive directors said they’d leave their position within that five-year period.