The 6 Best Accounting Software for Nonprofits of 2023

Using the platform eliminates the need for nonprofits to invest in costly fund accounting systems, very ideal, indeed, if you are on a tight budget. The solution effectively mimics the functions of business accounting systems; all it takes is some tweaking. It will take time for nonprofits to recover, but accounting software will be there to keep tabs on all incoming and outgoing funds. In this article, we will present the 20 best accounting software for nonprofits, which are capable of helping the sector manage donors, grants, and expenses. In the end, you should have a better idea of which accounting tool is the most suitable for your nonprofit or charitable institution. One option is fund accounting software, which is created specifically for nonprofit organizations.

FastFund Software Suite is a cloud-based software that fits perfectly for nonprofits. Micro to medium-sized nonprofit organizations that rely heavily on donations should use FastFund Raising. It is used for a variety of purposes, including but not limited to educational and religious purposes. Formerly known as Payment Rails, Trolley is a cloud platform that allows customers transfer payments to over 200 countries worldwide. It proceeds with accounts payable workflows for nonprofit organizations with medium to high volume transactions.

Built-in Nonprofit Financial Reporting

For organizations that want total remote access, Araize FastFund Accounting is our pick for the best cloud-based solution. It offers comprehensive accounting, fundraising, and payroll services and can be accessed from anywhere in the world. For small organizations like churches or community organizations, we selected ACCOUNTS as the best accounting software. It’s affordable and easy to use, with all of the necessary features you need to track income and expenses and create reports.

  • Moreover, it also includes bank account management capabilities to help you keep track of all transactions with contributors and sponsors.
  • Custom reports can be created and include your typical financial statements like balance sheets, transaction details, and income statements by fund or composite.
  • If you’re interested in text-to-donate capabilities, you can upgrade to Aplos Core at $139 a month.
  • In addition, this type of software can help streamline accounting procedures and save time.
  • The Tipalti platform boasts a 99% retention rate and a 98% customer satisfaction rate.

The FreshBooks platform allows nonprofits to create professional invoices and manage their donation process. Quickly send invoices to donors, generate reports, and track fundraising efforts. The system provides reporting capabilities that allow nonprofits to generate financial reports like balance sheets, profit and loss statements, and expense summaries. These reports help organizations gain insight into financial health, better prepare audits, and make more informed decisions. Bill.com is an all-in-one accounting software for small and medium-sized businesses and nonprofit organizations.

Why is FinancesOnline free?

Didn’t find the best accounting software for nonprofits (specifically, your nonprofit) on our list above? See if one of these additional accounting software solutions for nonprofit treasurers and bookkeepers meets your needs. Unfortunately, while Aplos’s nonprofit features stand out, its accounting features are more limited. Only the customized plan includes in-depth income and expense tracking, budgeting by project or fund, asset tracking, and recurring transactions. But even with its extensive accounting features, QuickBooks’s nonprofit software still doesn’t have as many nonprofit-specific features as Sage Intacct and Aplos.

Comparison of the Best Nonprofit Accounting Software

These companies encounter a variety of financial obstacles that require accountability and transparency. Since nonprofits receive funds from multiple sources (like grants, donations, and program fees) tracking and reporting are crucial. Tipalti Approve is another cloud-based accounting platform for nonprofits of all sizes. The software is equipped with a complete set of tools that make it easier to create purchase orders and go through the approval request procedures.

Why You Can Trust Fit Small Business

Effective accounting helps a nonprofit accurately monitor and report on the use of these funds, ensuring compliance with donor restrictions and enhancing donor confidence. When it comes to allocating expenses, nonprofits must do this accurately among various programs and fundraising activities. Doing this the right way ensures transparency and accountability when demonstrating how resources are used. Recent reports show there are 1.5 million nonprofit organizations in the United States, with $2.62 trillion in nonprofit revenue. These companies employ approximately 10% of the U.S. workforce and are an important part of the economy. Additionally, it offers nonprofit organizations unrivaled simplicity, flexibility, and traceability, all of which are attributes for which it is known.

EveryAction Platform

Software4Nonprofits offers true fund accounting and enables a business to track income, assets, expenses, liabilities, and funds in a single spot. There is a free, 30-day evaluation period and the platform seamlessly integrates with DONATION, Software4Nonprofits’ https://accounting-services.net/20-best-accounting-software-for-nonprofits-in-2023/ donation tracking software. Microsoft Dynamics 365 is a comprehensive ERP and CRM solution that offers a range of capabilities and features applicable to nonprofits. The system allows nonprofits to maintain a centralized database of supporters and donors.

What is the best software for my nonprofit?

Both Microsoft and Google offer nonprofit discounts on their premium versions of these programs. One popular option is Microsoft Office 365, which offers a suite of tools for word processing, spreadsheets, and presentations. Whichever software you choose, be sure to select one that will meet your nonprofit’s specific accounting needs. This type of software can help you track and manage donations, expenditures, and other financial transactions.