The New England Not-For-Profit Accounting Advisor

Changing and Enhancing Not-For-Profit Risk Management

Posted by Mike Burns on Wed, May 25, 2016 @ 12:43 PM

Adapted with permission of The CPA Journal, Copyright © 2016, April, 2016.

Over the last several years, audit committees have fine-tuned their oversight relative to internal controls and financial reporting, but as this process has matured, many committees are asking broader questions about risk and risk oversight. In fact, audit committees are increasingly charged with understanding overall risks, assessing which risks are the most important, and making sure that the existing management and governance structures are designed to mitigate, manage, and oversee these risks. This evolution corresponds to changes in the not-for-profit risk environment as a whole.

Read More

Tags: accounting, Non-profits, NFP, Mike Burns, risk management, The CPA Journal, Not-For-Profit Risk Management

Regulatory Updates That Could Affect Your Not-For-Profit

Posted by Amy O’Loughlin on Mon, May 23, 2016 @ 02:56 PM

Regulatory reform rarely happens in sweeping changes. Most of the time regulatory updates are incremental, which makes monitoring the little notices from Congress or the IRS important for organizations of all sizes. Taken together, the little things can have a significant impact on your organization’s operations.

Read More

Tags: tax, not-for-profit, IRS, IRS Updates, Amy O’Loughlin, Congress, Regulatory Reform

Four Lessons Learned from Year One of the Uniform Grant Guidance

Posted by Michelle Spriggs on Fri, May 20, 2016 @ 01:17 PM

The Uniform Grant Guidance (2 CFR 200), released in December 2013, replaced several Office of Management and Budget (OMB) administrative, cost and audit circulars, and as a result, it changed the way many not-for-profit organizations and universities administered their grants.

New awards and funding increments to existing awards to which the federal agency modified the terms and conditions received after December 26, 2014, must follow the administrative requirements and cost principles under Uniform Grant Guidance (UGG). The new Single Audit requirements are effective for fiscal years beginning after December 26, 2014. For most not-for-profit organizations, that means the first time they will be subject to the new Single Audit requirements will be for their upcoming June 30, 2016 year-end.

Read More

Tags: Non-profits, Michelle Spriggs, OMB, NFP, Uniform Grant Guidance

5 Reasons Why Not-For-Profits Should Carry D&O Insurance

Posted by Bruce Walsh on Mon, May 16, 2016 @ 01:56 PM

Not-for-profit organizations receive the same treatment as for-profits when it comes to liability for errors, omissions or other wrongful acts that involve governance, employment practices or misuse of funds. Penalties and court cases could be involved that implicate the not-for-profit’s leadership and board of directors.

Historically, not-for-profits have not gotten off any easier than their for-profit counterparts in settlements (). Resolving employment, financial and governance-related liabilities can be particularly difficult for not-for-profits because they typically operate on budgets that are smaller and more likely to be affected by the reputational consequences that come with a liability issue than for-profits. An issue uncovered with how your not-for-profit manages its funds, for example, could have donors reconsidering their contributions.

Read More

Tags: not-for-profit, Non-profits, NFP, Director & Officer Insurance, D&O Insurance

Not-For-Profits Should Prepare for Enhanced Scrutiny of Liquidity

Posted by David Brown on Wed, Apr 27, 2016 @ 10:47 AM

After a recent meeting, the Financial Accounting Standards Board (FASB) voted to draft the final accounting standard related to the first part of its not-for-profit financial statement presentation project. Among the changes are provisions that will make a not-for-profit’s liquidity more transparent.

Read More

Tags: ASU, David Brown, not-for-profit, FASB, nonprofit, liqudity

Reminders About Prohibited Political Activity and Other Considerations for Not-For-Profits in an Election Year

Posted by Brenda Booth on Tue, Apr 26, 2016 @ 04:46 PM

Elections have a tendency to permeate everything, from television coverage to social media and even conversations in the workplace. For not-for-profits, keeping politics out of the work environment is essential.

501(c)(3) organizations are, by the definition of their tax-exemption, absolutely prohibited from directly or indirectly participating in, or intervening in, any political campaign on behalf of (or in opposition to) any candidate for elective public office. As such, they should be carefully monitoring their activities and those of their employees for anything that could be deemed politicking. If organizations cross the line with engaging in politics, there could be serious penalties or loss of tax-exempt status.

Read More

Tags: lobbying, advocacy, tax, election year, Brenda Booth, not-for-profit, IRS

Join Us for the 2016 AICPA National Not-for-Profit Conference

Posted by Chrissy Hammond on Wed, Apr 20, 2016 @ 12:31 PM

CBIZ Tofias and Mayer Hoffman McCann P.C. are pleased to sponsor the 2016 American Institute of Certified Public Accountants (AICPA) National Not-for-Profit Conference being held on June 27-29, 2016, at the Gaylord National Resort & Convention Center, National Harbor, MD.

Considered the premier annual conference for this sector, it brings together the industry's top experts and thought leaders to offer their perspectives on the most crucial issues facing not-for-profit organizations and the practitioners who serve them.

Read More

Tags: AICPA, NFP, NFP Conference

Improve Your Not-for-Profit’s Credit Card and Data Security

Posted by Karen Cassella on Fri, Apr 15, 2016 @ 02:58 PM

The ability to accept and protect credit cards is essential for all entities, including not-for-profit organizations. From ticket sales to donations, book and gift stores, dining halls, food sales and the bursar’s office, there is no escape from the use of payment cards.

Read More

Tags: not-for-profit, Non-profits, NFP, Karen Cassella, PCI, PCI Compliance, PCI DSS

FASB Technical Agenda Update: Items of Note for Not-for-Profits

Posted by Heather Hernandez on Tue, Mar 29, 2016 @ 10:58 AM

Stakeholders had a lot to tell the Financial Accounting Standards Board (FASB) about its exposure draft of not-for-profit financial statement presentation changes in 2015. In the fall, the FASB announced it would be segmenting its proposed changes to financial statements into two phases to make the changes more manageable.

Read More

Tags: not-for-profit, FASB, Heather Hernandez

Three Targets of UBIT Scrutiny

Posted by Betty Isler on Fri, Mar 25, 2016 @ 11:31 AM

The healthcare and educational sectors brought renewed scrutiny to nonprofits’ unrelated business income activity in recent years. High rates of noncompliance in the IRS College and University Compliance Project Final Report and renewed focus on spending in the healthcare sector have regulators taking an especially close look at the issue of unrelated business income tax (UBIT).

Read More

Tags: not-for-profit, Non-profits, NFP, Betty Isler, unrelated business income (UBI), UBIT