Contact Us Follow Us :       | Find Us |
CBIZ & MHM New England

Subscribe to Our Blog

Client Satisfaction Survey Results

ClientSatisfaction_new

Follow Us

The Revenue Recognition Lesson Not-For-Profits Can Apply to Leasing
Posted by Allan Klose on Wed, Jul 3, 2019 @ 01:16 PM

Accounting changes to ASC Topic 842, Leases share many of the characteristics that made the revenue recognition updates in Topic 606 so challenging. Like revenue recognition, the Topic 842 leasing standard is another principles-based approach. It includes changes to definitions that will require case-by-case analysis. It could—and is more likely to than revenue recognition—have a financial impact on not-for-profit organizations because Topic 842 changes require all lessees to recognize lease assets and liabilities on their balance sheet. Recognizing these lease assets and liabilities will affect financial ratios and the processes that rely on them, such as loan covenants.

Read More

Topics: not-for-profit, Audit Committee, NFP, Revenue recognition, nonprofit, Leasing, leasing standard

Make Your Audit Committee Meaningful Again
Posted by Rich Howard on Fri, May 31, 2019 @ 11:07 AM

Economics 101 teaches us that time can be quantified in dollars and cents, and that if you want to measure the value of your time—i.e., your opportunity cost—start by looking at your hourly wage. Applying the opportunity cost idea to audit committees can make an audit committee seem like a hugely expensive venture.

Read More

Topics: not-for-profit, Audit Committee, NFP, nonprofit, not-for-profit board of directors

Does Your Not-For-Profit Have an Effective Audit Committee?
Posted by Allan Klose on Mon, Sep 24, 2018 @ 05:08 PM

Not-for-profit organizations should take a page from the public company playbook when it comes to their governance. The Sarbanes-Oxley Act of 2002 (SOX), makes it a requirement for public companies to have an audit committee that follows several key mandates for reporting annual financial statements. Regardless of size, all not-for-profit organizations can benefit from having an audit committee as well, that can help with governance strategies and, ultimately, provide the best chance to ensure the organization’s success.

Read More

Topics: not-for-profit, Audit Committee, NFP, nonprofit, not-for-profit board of directors, SOX

Revitalize Your Audit Committee Charter: A Self-Evaluation for Not-For-Profit Organizations
Posted by Tracey McDonald on Tue, Jun 20, 2017 @ 12:47 PM

Audit committees for not-for-profit organizations do much more than what their name suggests. In addition to their primary focus of overseeing all aspects of the audit process, they are increasingly  tasked with oversight of the not-for-profit’s enterprise risk management process and other risk mitigation activities.

Read More

Topics: Audit Committee, Non-profits, Not-for-Profits, NFP, audit risk, Not-For-Profit Risk Management, ERM

How to Modernize Your Audit Committee
Posted by David Brown on Wed, Oct 28, 2015 @ 01:36 PM

One needs only to look at the changes in the AICPA’s not-for-profit audit committee toolkit to understand the evolving responsibilities of the audit committee. The AICPA had previously recommended that not-for-profit audit committees monitor the financial reporting process and external auditors, perform internal audit functions and meet legal and/or regulatory requirements. The AICPA toolkit for 2015, the third edition, recommends roles and responsibilities beyond just hiring and communicating with the outside auditor. It suggests not-for-profit audit committees assess their internal audit function’s qualifications (if there is one), independence and performance and assist with their organization’s risk management and governance functions. The toolkit comes with Microsoft Word files of all the tools so you can modify and customize to fit your committee’s needs.

Read More

Topics: David Brown, Audit Committee

Best Practices of Effective Audit Committees
Posted by Brendan Donovan on Fri, Aug 15, 2014 @ 09:08 AM

An effective audit committee can be your not-for-profit organization’s best friend, safeguarding its most valuable asset: its reputation. Audit committees are tasked with providing experience, oversight and direction. Well-run committees ensure that management implements and follows an effective system of internal controls, and that outside auditors objectively assess the organization’s financial reporting practices. Through these and related efforts, audit committees strengthen their organizations by protecting their integrity, financial health and long-term viability. 

As not-for-profits face increased scrutiny – from the IRS; local, state and federal government; and from donors – the pressure on today’s audit committees is extraordinary. Each member understands it is his or her responsibility not only to prepare accurate financial statements, demonstrate responsible financial management, maintain regulatory compliance and manage operating risks, but to protect the very essence of the organization.

Committee Composition 

Read More

Topics: not-for-profit, audit, Brendan Donovan, Audit Committee

Popular Posts

Browse by Tag

see all