GAAP Accounting Basics: A Simple Guide for Nonprofits

Learn what GAAP is, why it matters, and how it affects financial reporting for businesses and nonprofits. Discover the 10 key principles of GAAP an…

What is an IRS Determination Letter?

An IRS Determination Letter is the official written recognition from the Internal Revenue Service that your organization qualifies as tax-exempt unde…

FASB Standards: Nonprofit Accounting Rules

A comprehensive guide to understanding the Financial Accounting Standards Board – FASB standards and rules and their impact on nonprofit…

Understanding Donor-Restricted Contributions: A Guide for Nonprofits

Learn what donor-restricted contributions are, how they differ from unrestricted gifts, and best practices for nonprofit financial management…

What Are Tax Deductible Donations?

Tax deductible donations are contributions that you can subtract from your taxable income when filing your federal income taxes…

Chart of Accounts: A Complete Guide for Nonprofits

A Chart of Accounts (COA) acts as the blueprint for your accounting system, categorizing each transaction so you always know where your money…

What is Fund Accounting? A Nonprofit’s Guide

Fund accounting isn’t just a financial system—it’s a critical tool for building trust, maintaining compliance, and guiding smart decision-making…

Nonprofit vs. Foundation: Understanding the Key Differences

Nonprofit vs. Foundation—what’s the difference? While these terms are often used interchangeably, they have distinct structures, purposes, and…

What are Charitable Remainder Trusts (CRTs)?

Charitable Remainder Trusts (CRT) are a tax-exempt irrevocable trust that allows individuals to donate assets to charity while receiving income fo…

What is a Bequest Donation?

A bequest donation is made through a will or estate plan, allowing donors to leave a lasting legacy. Learn about types, benefits, and how to set…

What Are Restricted Funds for Nonprofits?

Understanding restricted funds is crucial for nonprofit organizations to ensure compliance with donor intent and maintain financial transparency…

Charitable Gift Annuities (CGAs): A Quick Guide

Charitable Gift Annuities (CGA) are a unique philanthropic financial arrangement that allows individuals to donate to a charitable organization while…

What is Legacy Giving?

Discover how legacy giving allows you to leave a lasting impact through charitable donations, ensuring your values live on for future generations…

What Is Advocacy? Definition and Examples

Advocacy can be defined as the act of supporting a cause or proposal through various actions designed to inform and influence others…

What is an Endowment?

An endowment is a fund established by a donation or a group of donations meant to be invested and used for the ongoing financial support…

Annual Percentage Rate (APR): Definition and Calculator

Annual Percentage Rate (APR) represents the annual cost of borrowing money, expressed as a percentage. Unlike the interest rate, which only…

What is a Fiscal Sponsorship?

A fiscal sponsorship is a unique arrangement where a nonprofit organization (the fiscal sponsor) offers its legal and tax-exempt status to a project…