FUND ACCOUNTING PLUS
Not for Profits, grant recipients, and government agencies face special information demands from:
Donors - Grant awards - Board members - Government regulation
GOVERNMENT GRANT ACCOUNTING
Cost Allocation spreadsheets
Performance Measures Database
Popular software / configured for fund accounting
Data Converstion maps existing cost GL with Grant
Medicare CMS cost reporting
Free consultation
Have your data extracted or uploaded into a system designed to meet the needs of your board & grant auditors. Your data will be converted and reports customized by an MBA with 15 years experience in Governmental & Not-for-profit GAAP including Education, HUD, and private Funding.
Fatal Errors in Grants :
Inconsistent numbers between grant budget and Financial Stmt or Form 990
Information is out of date
No metrics by which you will measure success
No partnerships with other community support agencies or 503c(3)
Failure to include a timeline for your goals
BIG CHANGES IN STORE FOR ENDOWMENT ACCOUNTING - FASB 117a
Texas has adopted the Uniform Prudent Management of Institutional Funds Act (TUPMIFA).
This takes the place of TUMIFA (Texas Uniform Management of Institutional Funds Act) which specifically protected the principal of an Endowment. Under the prudent person rules in force now, spending would be adjusted for economic conditions but spending of principal is allowed. For example, over 10 years the market goes up and down, but grows in the long term. If during the early years, an endoment suffered losses, you would continue to distribute a prudent amount under the assumption it would eventually recover.
FASB 117a recognizes that some states have not adopted UPMIFA but those that have, need to disclose their policy on UPMIFA, their spending policy, and if they got a legal opinion on what is 'prudent'. FASB 117a increases the disclosure requirements of those adopting UPMIFA but has not significantly changed the classification of "Permanently Restricted Endowment".
Care should be taken in adopting new spending policies and insure that those policies are fully disclosed as well as whether or not your board adopts a "floor" which will not be spent in the event of a significant economic loss. Read more.
FUND Accounting and Not-For-Profit links
Article: Cherry Picking SOX for Not-for-Profits
Popular Software Packages Supported
Sage - MIP and Peachtree
Quickbooks
Cougar Mountain Accounting
Microsoft Access- for customized solutions
Ginger Heiman, CPA
903-465-4977