2013 03-07 np financial mgmt & acctg systems seminar
TRANSCRIPT
Thrive. Grow. Achieve.
NonProfit Financial Management & Accounting
Systems Seminar
Seth Zarny – Partner Buu-Linh Tran – Senior Manager Jeremy Taro – Business Development
Date: March 7, 2013
WHAT’S ON TAP
A. INTRODUCTION & AGENDA
B. CHALLENGES (GRANTS MANAGEMENT)
C. GRANTS MANAGEMENT SOLUTIONS
• Non-Financial Information
• Financial Information
D. FIELD OFFICE ACCOUNTING
E. FEDERAL REPORTING
F. DEMO (INTACCT & DYNAMICS GP)
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CHALLENGES - GRANTS
1. FINANCIAL REPORTING – MAINTAINING GRANT REPORTS/ DONOR REPORTS
2. TRACKING GRANT DOLLARS - MAINTAINING LARGE CHART OF ACCOUNTS
3. AVOID OVER SPENDING
4. GRANTS – TRACKING NON FINANCIAL INFORMATION & MANAGING GRANT INFORMATION
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CHALLENGES – FIELD OFFICE
1. PEOPLE (PRIORITIES/CULTURE/AUTHORITIES)
2. TECHNICAL CHALLENGES
3. DIFFERENT PROCESSES
4. MULTICURRENCY
5. DIFFERENT SYSTEMS
6. LOCATIONS
7. SUPPORT/ FINANCIAL REPORTING
REPORTING TO NECESSARY STAKEHOLDERS (BOARD OF DIRECTORS, DONORS, EXECUTIVES, PROGRAM MANAGERS, GRANTS MANAGERS, ETC.)
8. NONPROFITS MUST ACCOUNT FOR:
FUNDS, GRANTS, PROJECTS, PROGRAMS, AND MORE
9. DOCUMENTATION
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CHALLENGES WITH FEDERAL REPORTING & COMPLIANCE
IDENTIFY TOOLS TO ASSIST WITH FEDERAL REPORTING
• FAS 116 - ACCOUNTING FOR CONTRIBUTIONS
• FAS 117 - FINANCIAL STATEMENTS FOR NONPROFIT ORGANIZATIONS
• SEGREGATION AND AUDITING OF USES AND SOURCES OF FUNDS
• 501(C)(3) CHARITABLE VS. NON-EXEMPT ACTIVITIES
• IRS FORMS 990, ETC
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SOLUTION – TRACK NON-FINANCIAL DATA
1. INTACCT PROJECT ACCOUNTING/ USER DEFINED FIELDS
2. MICROSOFT DYNAMICS GP GRANTS MANAGEMENT/ EXTENDER
3. MICROSOFT DYNAMICS SL - PROJECT
4. SHAREPOINT
5. FINANCIAL SYSTEM(S)
6. CUSTOM APPLICATION/ DATABASE
7. MS EXCEL / WORD
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SOLUTIONS – TRACK FINANCIAL DATA
INTACCT
DIMENSIONS
PROJECT ACCOUNTING MODULES
DYNAMICS GP
CHART OF ACCOUNT (COA) – TRACK GRANT ACTIVITIES THROUGH SEGMENT OF COA
ANALYTICAL ACCOUNTING (AA) – DIMENSIONS
OLYMPIC – USE PROJECT TO TRACK GRANT TRANSACTIONS
DYNAMICS SL
PROJECT ACCOUNTING MODULES
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SOLUTION – TRACK FINANCIAL DATA IN MICROSOFT DYNAMICS GP
Features Chart of Account
Analytical Accounting
Olympic/ SL
Intacct
1.Track grant transactions X X X X
2. Track grant budgets for fiscal and grant period
X X X X
3. Prevent or provide warning when expenditure exceed grant revenue
X
4. Track employee time against grant
X X (Only w/ Project)
5. Track employee expense against grant (web-based application)
X X (only w/ Project)
6. Bill against the grant X X X X (only w/ Project)
7. Management Reporter (FRx)/ Financial Report by Project
X X X
8. Smartlist X X X
9. SSRS/ Custom report X X X X
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PROS AND CONS
Solutions Pros Cons
Chart of Account
Easy to maintain (Accounting dept control over COA) No sub-ledger to manage Easy to create report using MR Can slice and dice segment for reporting Work with MR/ existing report writer
Long COA Not accommodate multiple year (grant yr vs fiscal yr) Maintain old accounts forever Data entry Unable to handle complex grant requirement (time entry, complex allocation, etc.)
Analytical Accounting
Shorten COA Prevent charging expenditure in excess of revenue Work with MR/ existing report writer
Maintain sub-ledger / resource Separate screen for data entry Require reconciliation Additional training Additional configuration/setup
Olympic Project Accounting/ Dynamics SL
Shorten COA Track employee time and expense against grant Allow for sophisticated allocation Allow for sophisticated billing
Maintain sub-ledger / resource Separate screen for data entry Require reconciliation Additional training Additional configuration/setup Has separate reporting function
Intacct Project Accounting
Shorten COA Track employee time and expense against grant
Maintain sub-ledger / resource Require reconciliation Additional training Additional configuration/setup
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FIELD OFFICE ACCOUNTING - SUGGESTIONS
Challenges Suggestions People Establish and document field office accounting processes
Provide onsite training (processes/ system) Provide training @ home office (annually) Keep it simple (process/ accounting/ technology)
Technology Excel Remote access to GP Other system (QB) Maintenance factor/ Lag time User’s background Leverage on GP MC
Financial Report Report in local currencies (MR, SSRS) Easy access to reports
Documentation GP - Leverage on document management system integration Intacct - Document imaging is part of core product
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FEDERAL REPORTING REQUIREMENTS
1. LEVERAGE MANAGEMENT REPORTER (MR) OR SQL REPORTING SERVICES (SSRS)
2. FORM 990
3. SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (SEFA)
4. FASB 117
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FORM 990
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FORM 990 – MANAGEMENT REPORTER
SEFA
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SEFA – MANAGEMENT REPORTER
FASB 117
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NONPROFITS USING INTACCT
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NONPROFITS USING MICROSOFT DYNAMICS GP
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GRANTS MANAGEMENT
DEMO 1. INTACCT
Dimension
Project
2. DYNAMICS GP
Grants Management
Analytical Accounting
Olympic
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Q&A
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THANK YOU!
Buu-Linh Tran Direct: 301-279-6511 E-mail: [email protected] Seth Zarny Direct: 301-279-6500 E-mail: [email protected] Jeremy Taro Direct: 301-279-6504 E-mail: [email protected]