Nonprofit Accounting Software

Most nonprofit organization use an accounting software to record their transactions.  By utilizing a software program, as opposed to an Excel spreadsheet or even paper records, management can easily generate financial reports when needed.  In addition to the basic financial statements, most software also includes a budgeting tool to compare budget to actual and the ability to reconcile bank accounts.  Depending on the software, there are many other features available as well.

Before choosing a software for your organization, you need to know what your organization’s needs are and if the software will meet those needs.  Not every software will work for every nonprofit.  Some software is available through the Cloud which makes it easier for individuals offsite (i.e. board treasurer) to access if that is important to your organization.  Other software has the ability to run reports by departments, grants or other projects. 

Below are links to some of the more common accounting software used by nonprofit organizations. 

• Aplos
• Abila MIP Fund Accounting
• Blackbaud Financial Edge
• Intuit QuickBooks
• PowerChurch (specifically for churches)
• Sage 50 (formerly Peachtree)
• ShelbyNext Financials (specifically for churches)

Most nonprofits also utilize donor management software to track information on donors beyond just accounting for gifts.  The following are some of the more popular donor management software.

• Blackbaud eTapestry
• Blackbaud Raiser’s Edge
• Bloomerang
• DonorPerfect

There is no one right answer as to which software your organization should use.   If your organization is happy with its current accounting software, there is not necessarily a reason to change.  However, if your software is unable to provide you with the reporting that you need, you may want to consider changing to different software.  Before changing, make sure your new software integrates with any other software that you currently have.  Also find out how easy the new software will be to learn and how your organization’s current data will be imported into the new software. It’s also best to change software at the beginning of your fiscal year to have a clean break.

Posted by: Carrie Minnich, CPA