Hughey's Debits & Credits: Bookkeeping. Payroll. Taxes.

All posts tagged accounting

When we work with our NonProfit clients, one of the biggest struggles they face is properly accounting for cost allocation. 

From staff to board members, we often find a lack of detail and planning when it comes to cost allocation. What you don’t know CAN indeed hurt your organization when it comes to State Agency approval.

Let’s talk about why you need to have a deep understanding of this process.  We never want an organization to lose their state funding, risking everything for lack of accountability.

Cost Allocation: What Does That Mean?

Cost allocation is an accounting method used to determine cost to cost objects. In nonprofit accounting, it is used to determine the percentage of shared items that should be billed to each program. Read more

Are You Giving Back? 3 Tips on How to Give While Protecting Your Budget

As we all give thanks for our loved ones and the blessings in our lives, we want to take a moment to give back by thanking our clients because we consider you family. The relationships we have developed are based on care, trust and dedication to growth.  We are so very thankful and wish you and your family success and well-being.

As we move into the season of joy, praise and giving, we leave you with three tips for navigating the holidays successfully: Read more

Employee or Contractor?

One of the largest expenses in your nonprofit is payroll and all that goes with it. In addition to payroll, you also have to pay payroll taxes, unemployment, leave, insurance benefits, and training.

On more than one occasion, a client has wanted to switch an employee to an independent contractor in order to save money. However, that decision is not mine or even yours to make. The Internal Revenue Service (IRS) determines the difference here in a more extensive definition while the Department of Labor only uses 6 determining factors here.

Like my clients, I am sure you do not have time to research the difference or read the monstrous qualifications detailed by the IRS. Therefore, I am going to give you my version of the difference in these top 3 points: Read more

Your mission is to serve the community. Without money, you cannot achieve this goal.  You work hard to be awarded grants for your organization, and your mission is going great!

Fast forward in time to where the State is late reimbursing you on the funds you spent for the grants last month. Due dates for your organization’s bills are getting close and still no reimbursement. As an Executive Director or Board Member, you want to achieve your organization’s mission so you move some money around to ensure that the bills are paid and everything continues to flow as smoothly as possible.

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Donation Matters

WHAT you do after you have your donor’s check in hand matters more now than ever before.

Why?  Donors want to feel a part of your mission and they want transparency.

What happens next?

Someone from your office mails them a generic thank you card saying their donation was appreciated and is tax deductible.  Good enough?  Not even close.

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Why do we specialize in Nonprofit accounting?

After serving as the fiscal officer in a nonprofit, Ronda understands how these organizations are the heart of our communities. The people and volunteers that work in nonprofit organizations give themselves tirelessly to the causes and people that they serve.

Most non profits operate with stretched resources, limited administration and operations overhead and every employee wears many hats.

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