The more transactions your nonprofit makes, the more often you should reconcile your bank statements. You might start by reconciling every time you receive a bank statement (usually once a month), then schedule additional time as the size and quantity of your nonprofit bookkeeping services transactions grow. Essentially, you should view bookkeeping as the financial oversight process that’s necessary for operating your nonprofit daily. For example, bookkeeping ensures your nonprofit uses its revenue wisely and maintains its tax-exempt status.

This can be a great way to narrow down your options and find a program that will work well for your nonprofit. However, you do want to make sure you choose a program that has all the features you need without being too expensive. Whichever program you choose, be sure to take advantage of free trial periods and online tutorials.

Nonprofit Tax

The option you go for should also enable you to do fund accounting (i.e., use different accounts for different purposes). Nonprofits have strict rules regarding funding sources and how they should be spent. For example, large organizations like universities often have dozens, if not hundreds, of bank accounts for different purposes like scholarships, tuition, projects, etc.

With a little bit of research, you should be able to find the perfect accounting program for your nonprofits. The good news is that there are several software programs designed specifically for nonprofits that meet these criteria. By considering these factors, you can be sure to choose the best accounting software for your nonprofit. When choosing accounting software for your nonprofit, there are several key features to look for.