3 Best Accounting Software Options For Non-profits In 2022
Like any other business, non-profit organisations are required to be transparent and accountable when it comes to financial reporting. This is especially true since non-profits are usually funded by gifts, grants, and members’ contributions. Thus, they need to record and track donations and manage cash flow and expenses meticulously
On top of that, they must follow strict laws governing tax-exempt status to maintain their tax-exempt status. Otherwise, they can lose their status, triggering an IRS audit and making all their donations taxable.
Non-profit accounting software helps organisations track their donations and expenses transparently, helping donors better understand how their contributions are used. If your family office makes philanthropic donations, you might need to find accounting software for documenting donations and expenses, so you can streamline accounting tasks and better manage your finances. There are many accounting software options in the market, but not all accounting software will be ideal for your organisation, since they vary significantly in terms of features and capability. To make choosing the best one for your organisation, here are the top three accounting software for non-profits:
1. QuickBooks Enterprise Non-profit
QuickBooks Enterprise is inarguably one of the best accounting software for enterprise-level non-profit organisations. This software comes equipped with special features to help you operate your non-profit with ease and great flexibility and be in control of what matters to you and your donors. As a full-service program, it helps you manage your donor lists, track your finances, and handle payroll tasks efficiently and with ease.
QuickBooks Enterprise stands out from the other accounting software due to its robustness, making it an excellent option for both large and growing non-profit organisations needing comprehensive accounting services. This software can budget and compare actuals, track donations and expenses, and create grant and donor reports. It also lets you receive donations and store donor details securely.
ACCOUNTS is an inexpensive and easy-to-use accounting software specially designed to meet the accounting needs of small non-profit organisations. The software comes equipped with all the necessary features your small organisation needs to streamline accounting tasks, including tracking income and expenses, tracking fund balances, generating detailed reports, and associating accounts with your IRS tax form lines.
3. Araize FastFund Accounting
If your organisation needs remote access to your accounting data, you might consider choosing a cloud-based solution like Araize FastFund Accounting. This software is specially designed to offer your organisation detailed accounting, payroll, and fundraising services and can be accessed from wherever you are. Since the software runs on the cloud, you can easily access it from any web browser or device, such as a tablet, Mac, or PC.
The software is incredibly easy to install and can be used by multiple users simultaneously, allowing you to collaborate with other members of your organisation remotely. The FastFund Accounting platform also allows you to manage bank reconciliations, generate accounting reports and other information you need to fill the IRS Form 990, and create budgets by grant and department. It also features payroll services that allow you to pay your organisation’s staff via check or direct deposit, allocate taxes money, and file payroll taxes.
Managing finances accurately can be a huge challenge for many non-profit organisations. However, choosing the right accounting software for your non-profit can help your organisation easily manage its bookkeeping, accounting, and tax-related tasks. This way, your non-profit can operate transparently and stay accountable to donors. It also helps your non-profit maintain its tax-exempt status by ensuring you comply with the strict government guidelines.