Helping Not-For-Profits (NFP) with the right technology stack will streamline their accounting processes and save time and money. Technology software or apps should include online accounting, receipt capture, cloud storage, and employee time tracking.
How long is a piece of string? In response to the question, we often get ‘What do I need to streamline my business or my organisations’ processes.’ With so much technology, software, and apps available these days, where do we begin or end listing options? We are here to help to find the best technology stack for your Not-For-Profit organisation.
Let us look at some of the options that are currently available.
Cloud-Based Accounting Software
There is many accounting software available on the market. The most popular used for not-for-profits are MYOB, QuickBooks Online (QBO), and Xero. These three have remarkably similar capabilities and features including bank feeds, transaction rules, payroll, and reporting.
Within NFPs, MYOB seems to be the most popular accounting software used. As well as having discounts for the NFP sector, it had entered the market first and is the most affordable. It has better reporting features like tracking grant income and expenditure, unlimited job numbers (project/grant allocation), and the total number of employees.
Other software like QBO & Xero may cost more for these features. All three can convert to the other if the NFP finds another software solution that is a better fit. For example, MYOB can convert to Xero or QBO and vice versa.
Time Tracking Software | Payroll
With many time tracking software on the market, costs may vary. Different features included will depend on the cost. Features may include:
- off-site time tracking
- award interpretation & rates of pay
- location tracking
- employee portal
- leave requests and approvals
- leave entitlement tracking
- integration with accounting software to streamline payroll processing.
MYOB has introduced a new time tracking feature called MYOB Teams included the software price. QBO does not have its own payroll software but has integrated software called KeyPay. KeyPay can also be used independently and can integrate with MYOB and Xero.
Moreover, other options include the popular Tanda and Deputy. The NFP should do some research and ensure they find the best software for their needs, as well as, the best integration with their accounting software.
Reporting is customisable to suit the NFP’s reporting requirements. Also, reports exported to Excel can have more customisation and notations. Adds on can be bought if the reporting capabilities are not adequate to NFP requirements. Some of the available options are Spotlight, Fathom & ProfitSee. These range in cost and features.
Receipts/Bills Capture Apps
Receipts and bills capture apps are fantastic and are a must. These apps allow the organisation to scan through an app on a smartphone, a receipt, or a bill. Scanned documents are automatically sent to the software’s in-tray. This allows the user to create bills and expenses from those documents. Emails including attachments can send to the software in-tray. The scanned copy will also automatically attach to the transaction.
Storing documents within the transaction will reduce the time searching for paperwork, as a result, making it easier for managers to view documentation and approve payments. Thus it reduces the need for auditors to ask for documentation. MYOB, QBO, and Xero have their inbuilt receipt capture apps free of charge.
There are also many other receipts capture apps available on the market. These can integrate with your accounting software and program with automatic transaction allocations and GST calculations. An example of one is Hubdoc which is available free of charge with Xero software. Other options include Dext, and Expensify.
Online storage has become the norm to help reduce paper use and paper-free offices. We suggest that a separate online storage platform is used. IT is unpredictable sometimes, and software companies may go offline or crash. Some accounting software will drop the storage if the subscription cancels.
Notably, there are multiple platforms for online storage. These include Google for non-profits, OneDrive, and DropBox. These have file-sharing capabilities and can consist of many users.
There are many membership softwares that will integrate with your accounting software. As a result, this will save time on data entry and streamlining processes. In contrast, some software may not integrate with the accounting software. So a process will need to be set up to migrate the data across.
Examples of CRM’s available:
- MYOB: Membership Manager
- QBO & Xero: GlueUp
- Xero: MembershipWorks
Connecting Up is an Australian registered charity and not-for-profit organisation. It partners with leading tech companies that support the NFP sector with donated and discounted IT products, online learning, and specialised consulting services. Some services include discounts on software subscriptions, cheaper hardware purchases, and training services. Joining and membership is free.
In summary, we have outlined the importance of technology within accounting and finances for NFPs. With so many options out there, we are here to help to find which software aligns best with needs and costs.
Sudoku Bookkeeping offers discounted bookkeeping rates to the not-for-profit sector.
Visit our Services page for more information or contact us through our contact form.
Let us know how we can help you to put your numbers in the right spot.
Stay tuned for our next blog, in which we talk about DIY bookkeeping.