Thursday, April 29, 2010
501c3 public charities must complete the form 990, 501c3 private foundations must complete the form 990 pf, and nonprofits that make $25,000 or less per year must complete a form 990-N.
According to the IRS if small organizations failed to file a form 990-N for the past three years, on May 15th their tax exempt status will be REVOKED. Guidestar estimates that between 350-400k nonprofits will loose their tax exempt status!! Yikes.
Here are some tips and resources on quarterly and annual filing requirements for nonprofits.
1. Don't overlook letters from the IRS (seriously)
2. File annual 990's
3. File annual paperwork with the state attorney general's office
4. File quarterly wage and tax statements (check with your state)
FREE Handbook from Southern California Edison: Legal Issues for Small Businesses and Nonprofit Agencies
Form 990 Resources and Tools
Nonprofit Law Blog
Not for Profit Accounting Blog
Exempt Employer's Toolkit
American Humanics (AH) is seeking your input to assure that work ready talent is available to organizations and agencies who serve families, our communities and the world.
American Humanics is the only national organization bringing together nonprofit organizations and higher education for the purpose of credentialing future nonprofit managers and leaders. Founded in 1948 we work with 62 affiliated colleges and universities to insure that students preparing to work in the nonprofit sector obtain industry specific competencies and skills.
This national survey will determine what competencies are needed in effective managers and leaders. Your input will drive the continued development of the American Humanics Nonprofit Management and Leadership credential. This is the largest survey of its kind and seeks the input of all segments of the nonprofit sector.
Please access the survey here: Take the Survey
We are seeking the input of nonprofit executives, human resources leadership, those with human resources responsibilities and nonprofit management faculty. We would like representation from diverse cross-section of the nonprofit sector. The deadline for completion of the survey is Monday, May 31, 2010. The survey is easy to complete and should take 10-20 minutes.
The results of the survey will be published and distributed publicly in the fall of 2010. More so, the findings will support curricular development in our network of colleges and universities.
American Humanics thanks you in advance for your support. The results of the survey will be shared later this year and will ensure the nonprofit workforce is equipped to handle future challenges.
Tuesday, April 6, 2010
Whether you run a new nonprofit or your nonprofit has been around for years, I recommend that EVERY nonprofit implement and actively use these three manuals in their organizations:
- Accounting manual
- Employment manual
- General operations manual
The accounting manual will keep an organization in compliance with nonprofit specific Generally Accepted Accounting Principles (GAAP), as well as protect its financial assets, and ensure that proper internal controls are in place. The contents of a nonprofit accounting manual generally includes:
- · Division of Duties
- · Cash Receipts Procedures
- · Cash Disbursements Procedures
- · Reconciliations
- · Petty Cash Fund
- · Purchases
- · Fixed Asset Management
- · Payroll
- · Financial Reporting
- · Grant Compliance
- · Fiscal Policy Statements
Sample Nonprofit Accounting Manual
Steps for Creating an Accounting Manual
The employment manual will help protect an organization against employee lawsuits and grievances. This manual will also help nonprofit employees understand key employment policies as well as the benefits available to them and mandated by California employment law**. The contents of an employment management generally includes, but is not limited to:
- · Employment Policies
- · Leave from Work and Other Benefits
- · Vacation and Sick Leave
- · FMLA
- · Other state mandated policies
- · Conditions of Employment
- · Compensation and Other Administrative Matters
- · Grievance Policies
- · Verification of Receipt
- · At Will Employment Statement
Sample Employment Manual
Creating an Effective Employment Manual for Your Nonprofit
Personnel Policy Manuals
The operations manual will document critical organizational information and general operating procedures. This manual will also improve operational efficiency. The contents of an operations manual generally includes, but is not limited to:
- · Security Culture/Procedure
- · File Saving Procedure
- · Back Up Procedure
- · Marketing and communications Procedures
- · New Hire Procedure
- · Emergency/Evacuation Procedure
- · Fundraising Filing Procedure
- · Human Resource/Personnel Filing Procedure
- · Events Procedures
Operations Manual Template
Operations Manual Example
Operations Best Practices
I provided links to templates and examples so you can easily revise and personalize these manuals to your own nonprofit organization. The important thing is to involve the staff and key board members in the entire process from start to implementation.