Because nonprofits have to abide by specific rules set by the IRS, it’s helpful to have an accounting tool that makes it easy to keep your finances organized. The right accounting program can help a nonprofit simplify and streamline bookkeeping tasks, as well as ensure that financial reporting is accurate and up to IRS standards. Beyond keeping your nonprofit compliant, an accounting tool can help you manage the books with fewer resources than a for-profit organization.
These accounting tools include features specifically designed to help nonprofits track donations, record in-kind donations, track spending, and comply with IRS rules.
QuickBooks for Nonprofits
QuickBooks by Intuit is a popular tax and accounting software program for all types of businesses. The platform released a version of QuickBooks built specifically for nonprofit organizations. QuickBooks for Nonprofits is equipped to help you track donations and grants, create specialized reports, and manage expenses. Upgrade to QuickBooks Enterprise Nonprofit to get even more rigorous features designed for nonprofit accounting management.
[Read more: A Guide to Small Business Accounting]
Sage
Sage offers various accounting products for businesses of all sizes, but Sage Intacct is the best option for most nonprofits. Sage Intacct's users like its customizable reporting and user-friendly dashboards. The platform includes tools to streamline fund, grant, and project accounting and the ability to get real-time insight into spending, cash flow, and other key metrics.
“The more you can automate your accounting tasks and business workflows, the more time you and your staff can dedicate to doing good in the world,” wrote NerdWallet. “Sage Intacct’s software comes with a number of automation features to simplify your nonprofit accounting and reporting, including an AI-powered general ledger and a revenue recognition tool that’s built to save you time and ensure your organization remains compliant.”
Blackbaud Financial Edge NXT
Blackbaud offers a range of tech tools for nonprofits, and its accounting tool, Financial Edge NXT, has powerful reporting, budgeting, and analysis capabilities. Financial Edge can do it all, from financial planning to grant accounting and fundraising campaigns. Plus, internal controls and other security protocols allow your system administrator to protect donor information through user access permissions.
Blackbaud’s other programs make this option great for growing nonprofits. “One of the most prominent advantages of Blackbaud Financial Edge NXT is their ability to streamline information and nonprofit processes through the use of integrations with other Blackbaud products,” wrote Fundly.
If your organization is mostly staffed by volunteers with little to no accounting experience, MoneyMinder might be the best fit for you.
Aplos
Aplos offers accounting tools and then some. Not only do you get built-in fund accounting and the ability to accept donations, but Aplos’ platform also has team management tools, email marketing, and analytics that go beyond basic accounting reports. It’s also one of the more affordable tools on the market, making it a good fit for small and large nonprofits alike.
[Read more: 10 Free Accounting Tools for Your Small Business]
Araize FastFund Accounting
Araize FastFund is a cloud-based accounting system that can be accessed from any web browser, making this option a good fit for remote or global nonprofits. Through the secure online platform, teams can handle bank reconciliations, generate accounting reports, create budgets for departments or grants, and generate the data to complete IRS tax forms. Ancillary products from Araize, like payroll services, make this solution easy to scale with your nonprofit. In addition to a robust accounting system, Araize also offers a nonprofit accounting course to help train your team in essential nonprofit accounting skills.
MoneyMinder
If your organization is mostly staffed by volunteers with little to no accounting experience, MoneyMinder might be the best fit for you. “Users find MoneyMinder's budget management features exceptionally user-friendly and comprehensive. They appreciate the ease of creating and maintaining budgets, which is particularly beneficial for non-profit organizations,” wrote Capterra. “Additionally, the affordability of the software, combined with its robust report generation capabilities, makes it a valuable tool for financial oversight and planning.”
MoneyMinder’s intuitive dashboards and accounting tools allow users to create budgets, track costs, reconcile bank accounts, and record receivables. It integrates with your organization’s bank account as well as PayPal (available in the paid version). One standout feature is the ability to track volunteer hours, as well as donations, although other donor management tools are limited.
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