This document summarizes a seminar for non-profit financial management and accounting systems. The seminar agenda includes an introduction, challenges with grants management and field office accounting, federal reporting requirements, and demonstrations of Intacct and Microsoft Dynamics GP and SL solutions. Key challenges discussed are financial and non-financial grants reporting, tracking grant dollars, avoiding overspending, and managing multi-location field offices with different processes and systems. Federal reporting requirements like Form 990 and the Schedule of Expenditures of Federal Awards are also addressed.
1. Thrive. Grow. Achieve.
NonProfit Financial
Management & Accounting
Systems Seminar
Seth Zarny – Partner
Buu-Linh Tran – Senior Manager
Jeremy Taro – Business Development
October 1, 2013
2. WHAT’S ON TAP
INTRODUCTION & AGENDA
CHALLENGES (GRANTS MANAGEMENT)
GRANTS MANAGEMENT SOLUTIONS
• Non-Financial Information
• Financial Information
FIELD OFFICE ACCOUNTING
FEDERAL REPORTING
DEMO (INTACCT & MICROSOFT DYNAMICS)
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3. CHALLENGES - GRANTS
FINANCIAL REPORTING – MAINTAINING GRANT
REPORTS/ DONOR REPORTS
TRACKING GRANT DOLLARS - MAINTAINING LARGE
CHART OF ACCOUNTS
AVOID OVER SPENDING
GRANTS – TRACKING NON FINANCIAL INFORMATION &
MANAGING GRANT INFORMATION
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4. CHALLENGES – FIELD OFFICE
PEOPLE (PRIORITIES/CULTURE/AUTHORITIES)
TECHNICAL CHALLENGES
DIFFERENT PROCESSES
MULTICURRENCY
DIFFERENT SYSTEMS
LOCATIONS
SUPPORT/ FINANCIAL REPORTING
• Reporting to necessary stakeholders (Board of directors, Donors,
executives, program managers, grants managers, etc.)
NONPROFITS MUST ACCOUNT FOR:
• Funds, Grants, Projects, Programs, and More
DOCUMENTATION
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5. 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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6. TRACKING NON-FINANCIAL DATA
INTACCT PROJECT ACCOUNTING/ USER DEFINED
FIELDS
MICROSOFT DYNAMICS GP GRANTS
MANAGEMENT/EXTENDER
MICROSOFT DYNAMICS SL – PROJECT/GRANTS –
ALLOCATIONS, MODIFIER
SHAREPOINT
FINANCIAL SYSTEM(S)
CUSTOM APPLICATION/ DATABASE
MS EXCEL / WORD
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7. TRACKING 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 Series
• Cost Allocations
• Project, Tasks, Account Category
• Indirect & Direct Rates, Provisional/Actual
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8. SOLUTION – TRACK FINANCIAL DATA
IN MS DYNAMICS GP, SL, & INTACCT
Features Chart of
Account
Analytical
Accounting
SL/Olympic 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 X (SL)
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 Reports by
Project
X X X
8. Smartlist X X X
9. SSRS/ Custom report X X X X
10. Cost Allocations Moderate Moderate Extensive Moderate
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9. 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
Allows for sophisticated allocation
Allows for sophisticated billing
Sophisticated Costing – Direct/Indirect
Rates
Maintain sub-ledger / resource
Separate screen for data entry
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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10. 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 & SL
• Other system (QB)
• Maintenance factor/ Lag time
• User’s background
• Leverage on GP & SL MC
Financial Report • Report in local currencies (MR, SSRS)
• Easy access to reports
Documentation • GP & SL – Leverages document management system integration
• Intacct - Document imaging is part of core product
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11. FEDERAL REPORTING REQUIREMENTS
LEVERAGE MANAGEMENT REPORTER (MR) OR SQL
REPORTING SERVICES (SSRS)
FORM 990
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
(SEFA)
FASB 117
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