According to the IRS, an unrelated business income is an activity that is unrelated to the organization’s goal, according to these three requirements: 1. It is a trade or business.…

Did you know accounting has been around for thousands of years? We can trace it back to ancient civilizations. Abilkisu sat inside a stone cubicle in the bullpen of Mesopotamia…

Are you a CPA who serves nonprofit organizations or churches? If so, you likely do it because you have a passion for making a difference in the lives of others.…

A capitalization policy will help determine whether an item your organization buys is a regular expense or a fixed asset. Organizations use a capitalization policy to set a threshold for…

In a previous video, we looked at how a capitalization policy works in an organization. That document states that any item purchased over a certain value is considered a fixed asset.…

What Are In-Kind Donations? An in-kind donation or gift is when someone makes a contribution to your nonprofit or church that’s not cash or stock. For example, in-kind donations could…

Cash and accrual are two ways your organization can keep track of its finances. Most organizations function off of a cash basis, but there may be a situation where running…

This is a pretty big topic that can get complex fast, but here are the basics on what fixed assets are and how to track them in your accounting. A…

Using QuickBooks®’ nonprofit solution may sound like a good idea. However, there are several things to be aware of. Many nonprofits and churches try hard to get it to work…

Fixed Assets Fixed assets are commonly found on a balance sheet in the assets section. Other items grouped together in the assets section usually include cash, investments, accounts receivables, and…