So you’ve been asked to be a board member

Posted Leave a commentPosted in Accounting, Leadership, Nonprofit

So you’ve been asked to serve on the board of a nonprofit organization. What do you need to know? You want to learn enough about the organization to do a good job as a director. You should also understand that there is potential legal liability for serving as a board member. Since nonprofit organizations do not […]

Nonprofits and small businesses lack security measures

Posted Leave a commentPosted in Computers and Internet, Data Management, Nonprofit, Security

I started the week by reviewing IRS’s publication about guarding taxpayer data. The publication is meant for tax firms but the concepts apply to all organizations that handle sensitive data. Last week I reviewed an accounting firm’s operations and, for the second time this year, declined to work with a service provider solely on the […]

Crowdfunding article bibliography

Posted 6 CommentsPosted in Crowdfunding, Financing, Investment, News and Politics, Nonprofit

Are you a small business owner thinking about crowdfunding? Crowdfunding issues have become an increasingly frequent part of my day-to-day discussions with small businesses – both for profit and nonprofit – and the investors who finance them. Many of my recent blog posts reflect this trend. Most of these blog posts focus on very basic concepts of […]

Web promotion and crowdfunding for nonprofit organizations

Posted 1 CommentPosted in Crowdfunding, Nonprofit, Social Media

If you are involved with leadership of a nonprofit organization then you are likely to be aware of the effort and expense to boost the online presence and branding of your organization online. It’s all the rage today. These efforts usually revolve around bolstering the organization’s web site and then outreach through social media. The real questions […]

Tax planning tip for nonprofits with unrelated income

Posted Leave a commentPosted in Nonprofit, Uncategorized

Here is an interesting and simple tax planning tip where a nonprofit company has so much unrelated business or investment income that it threatens the entity’s nonprofit status. Just form a one member subchapter S corporation owned by the nonprofit and the income flows through to the Form 990 but does not threaten nonprofit status.

Small payments by nonprofit LLC for summer events

Posted Leave a commentPosted in Accounting, Nonprofit, Taxes

Community organizations often sponsor seasonal events that require the use of short term labor. When volunteer labor is not available, there may be tax implications of paid services. Even though the dollar amount per worker is small, the total cost can be a significant portion of the organization’s overall budget. A single-member LLC is managed […]

Tax deduction for contributed time or services

Posted Leave a commentPosted in Nonprofit, Taxes

I’ve often had the opportunity to work as the volunteer accountant, trustee or adviser for some great charitable organizations. In the course of this work, I meet plenty of other like-minded generous people. One amazingly common misperception that many of these people share is a misunderstanding of the tax treatment of donated time or services. […]

Even small nonprofits can benefit from online accounting

Posted Leave a commentPosted in Accounting, Nonprofit

Since the early days of online accounting, I’ve preached that some of the obvious beneficiaries of this technology are nonprofit groups. One primary advantage is decentralization of information. In the past only the Treasurer might have had access. Board members might be updated at periodic meetings. Now all board members with access to the online books […]