Should Your Nonprofit Hire a Full-Time or Fractional CFO?
Discover whether a fractional CFO or a full-time CFO is right for your nonprofit. Compare cost structures, responsibilities, and organizational fit.
Discover whether a fractional CFO or a full-time CFO is right for your nonprofit. Compare cost structures, responsibilities, and organizational fit.
No matter your size or mission, every nonprofit needs operating reserves. But how much is enough? And how do you convince your board it’s not just okay to use them—but essential?
In this candid and honest conversation on A Modern Nonprofit Podcast, Tosha Anderson chats with ENGin founder Katerina Manoff about the realities of nonprofit board leadership—and how to finally create a board that serves your mission instead of slowing it down.
Fundraising is not sales. That’s what I told myself for years. And then I left the nonprofit world and entered the for-profit sector—and I realized just how wrong I was.
Nonprofit leaders are burned out. Budgets are tight. Teams are stretched. Yet strategy, execution, and accountability can’t wait until the next big grant hits.
In a nonprofit world defined by high turnover, tight budgets, and relentless mission work, training is too often an afterthought. We wait for a crisis, then scramble to “train” our way out of it.
When your nonprofit’s finances feel off—but you can’t quite put your finger on why—it’s often because the accounting system is quietly unraveling behind the scenes. And if your gut is telling you something’s wrong, it probably is.
When you’re running a nonprofit, it’s tempting to think of accounting as something you can “get by” with—maybe it’s a part-time admin, a volunteer with QuickBooks experience, or a reactive scramble at tax time.
Too many nonprofits are flying solo, reacting to deadlines instead of building a system that works.
In a sector dominated by last-minute appeals and burnout-inducing gift cycles, Mandy Moody wants you to know there’s a better way.
Behind every financially sound nonprofit is a leadership team that doesn’t just care about the mission—but also owns the outcomes.
We don’t like to talk about it—but we should. Sometimes, the biggest obstacle to transformation in a nonprofit isn’t lack of funding, staff turnover, or outdated systems. It’s leadership.
If you’re a nonprofit leader feeling overwhelmed by digital marketing—or unsure if your website is even helping you anymore—this episode of A Modern Nonprofit Podcast is for you.
When it comes to securing funding, your budget serves as a narrative tool, helping funders understand your mission, your needs, and your impact. But the challenge lies in the fact that not all funders want to see the same story.
Does your nonprofit rely on a patchwork of systems—Google Sheets, Eventbrite, Mailchimp, Canva, Salesforce, and five others—to keep things running?
When it comes to Federal Single Audits, nonprofits often make costly mistakes that lead to compliance issues, financial weaknesses, and material deficiencies.
At The Charity CFO, we’ve worked with hundreds of nonprofits (if not thousands)—and reviewed thousands of financial systems—over the past decade. From grassroots organizations to $20M+ institutions, we’ve seen firsthand what sets high-performing nonprofits apart.
In this episode of A Modern Nonprofit Podcast, Tosha Anderson and branding expert Seth Donlin unpack why personal branding is no longer optional for nonprofit leaders—and how it can drive deeper donor engagement, visibility, and trust.
Think your nonprofit is safe from fraud? Think again. Fraud happens in nonprofits far more often than leaders realize—and it’s not just the obvious scams.
The financial landscape for nonprofits is shifting, and the pressure is mounting. With government funding and donor contributions facing heightened scrutiny, nonprofit leaders must ensure their financial systems are rock solid. Every dollar spent is under the microscope, and transparency is no longer optional—it’s essential.
Having worked in the nonprofit sector for over 15 years, I’ve seen firsthand how quickly organizations can come under fire for financial mismanagement—sometimes even when they’ve done nothing wrong. Donors and grant providers want proof that funds are being used responsibly and efficiently. The good news? You can prepare for this increased scrutiny and protect your nonprofit by implementing smart financial strategies today.
In today’s climate, nonprofit funding comes with more strings than ever. Government regulations are tightening, and donors are demanding more accountability. From federal grant compliance to donor transparency expectations, nonprofits must meet a growing list of financial integrity standards.
The bottom line? If your organization doesn’t have airtight financial oversight, you’re at risk of losing funding. Now is the time to adopt a fail-proof financial strategy to avoid common pitfalls and set your nonprofit up for long-term success.
A structured procurement process is essential to ensure fair and ethical vendor selection. Implement policies for competitive bidding and vendor selection to prevent conflicts of interest. Avoid awarding contracts to board members, employees, or close personal connections to maintain credibility.
Every nonprofit should require board members and key leadership to disclose conflicts of interest annually. This not only builds trust but also prevents ethical and compliance issues that could put your funding at risk.
Pro Tip: Always document potential conflicts and establish a process for handling them transparently.
Whether it’s a small office supply purchase or a major equipment investment, maintain records of every expense. This ensures accountability and makes audits or donor inquiries easier to manage.
Pro Tip: Use expense management software like Bill Spend and Expense to track and categorize expenses automatically. It allows for individual spending cards, built-in approvals, and easy receipt tracking.
Without internal controls, nonprofits are vulnerable to financial mismanagement and fraud. Establish clear approval processes for all financial transactions, including vendor payments and employee reimbursements.
Pro Tip: Leverage expense approval tools to ensure all vendor invoices and credit card transactions are reviewed and approved at the appropriate levels.
Know exactly what your grants and funding cover—and what they don’t. Misallocating funds can lead to compliance violations and loss of trust from funders. Maintain strict budget oversight and ensure spending aligns with your organization’s mission and restrictions.
Your nonprofit’s accounting system should allow you to generate detailed reports on every dollar spent. If you don’t have real-time access to financial reports, it’s time to upgrade your processes or invest in better financial management technology.
Strong financial reporting isn’t just about compliance; it’s a strategic advantage. Nonprofits that prioritize financial transparency can:
At The Charity CFO, we specialize in helping nonprofits navigate audits, donor scrutiny, and financial management challenges. With 85% of our clients undergoing audits, we know how critical it is to have a robust accounting foundation in place.
The financial pressure on nonprofits isn’t going away, but you can take steps today to protect your organization. By implementing these financial best practices, you can stay compliant, build trust, and ensure your nonprofit thrives despite increasing funding scrutiny.
Need help getting your nonprofit’s financials in order? Let’s talk. At The Charity CFO, we help nonprofits streamline accounting, meet compliance requirements, and focus on their mission.
Best Practices when Accounting for Grants
How to Create a Nonprofit Operating Budget
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Like many leaders of business, I find myself having seasonal ebbs and flows with work demands. It’s no secret that accountants have a “busy season”. I get asked all the time – how do you survive the busy season of accounting? For accountants, it’s typically January through April. Not only is this a busy volume of work to get done – it’s a double whammy being in the Midwest with the dark and gloomy cold weather days.
So, the question is, how do I survive this season? How do I stay motivated? How do I keep my energy high? While it’s taken me many years, some coaching, and a lot of habit building to get there, I think I’ve landed on a routine that works. Let me share some of my favorite tips…
Staying healthy – especially in a high demanding job – is an undertaking. Keeping my physical fitness and mental wellness in top shape is an entirely separate job. A job that I take very seriously. Here are the key components of my wellness strategy:
Prioritizing your wellbeing is a critical component but let’s shift gears to focusing on working “on the business” rather than “in the business”. I set annual and quarterly goals each year for The Charity CFO. We keep track of our progress as we move through the year. That said, it is important to take time away to reflect on those goals, identify the current and biggest issues in the business, and connect with others that are going through a similar journey.
This year, I took that time to connect with fellow accounting firm owners in sunny Fort Lauderdale. This wasn’t just a getaway; it was a strategic retreat, a deliberate step to build a supportive community and brainstorm innovative business strategies. We shared challenges, exchanged growth tactics, and discussed how to enhance our services—all while soaking up some much-needed vitamin D.
It’s imperative that not only should you carve out time to sit in the quiet and be strategic about the organization you lead – but to also connect with peers doing the same thing. The camaraderie and fellowship helps keep your sanity simply by knowing you aren’t alone. Added bonus? You can find ideas from others that might help you solve some of your own problems.
As we continue through 2025, my commitment is to maintain this balanced approach, ensuring that wellness and community interaction are not sidelined but are integral parts of how we operate at The Charity CFO. This approach not only sustains our team but also drives our success, proving that you can indeed have it all—professional success, personal well-being, and active community involvement.
I encourage you to consider what kind of habits and tricks you can incorporate into your day-to-day life to make sure you take care of yourself – so that you can take care of your team.
This is a paid partnership with Intuit.
Nonprofit budgeting may be a source of dread for many, but there are ways to make the process (and outcome!) much better.
Forget about the numbers for a second. A well-crafted budget is a reflection of your mission and a roadmap to financial sustainability. It helps you communicate how you’re going to make the difference you want to see in the world. It can be a tool to galvanize your team, community, and supporters.
Keeping that in mind, let’s go over what we’ve learned at The Charity CFO While supporting hundreds of nonprofits with their budgets.
If you prefer to watch a video on this topic, check out this webinar on Youtube.
Your nonprofit’s budget exists to advance your mission.
The decisions you make about revenue and expenses should always align with your organization’s goals and the impact you’re striving to achieve.
Every nonprofit budget has a few building blocks. Most will include these areas:
Even a great budget can fall short without strong cash flow management. Cash flow ensures your organization can meet its obligations month-to-month.
Budgeting shouldn’t happen in isolation. Involving key stakeholders ensures transparency and accountability. Plus, collaboration fosters a culture of shared responsibility, ensuring everyone works toward the same goals.
It’s no secret that nonprofits often operate in unpredictable environments, so your budget should be flexible enough to adapt to growth opportunities and unexpected shortages.
Modern technology can simplify budgeting and financial tracking for nonprofits. There’s no reason to do the grunt work when a computer program exists to do it in less time and with more accuracy!
Your budget should be used as a communication tool for donors and stakeholders. Don’t keep it hidden in a folder on your computer, bringing it out only for emergencies or quarterly reports. Make it a regular tool that you refer to in your activities.
A thoughtful budget is the foundation of your nonprofit’s financial health and mission success. By aligning your budget with your mission, prioritizing cash flow, and leveraging technology, you’ll build a strong, sustainable organization that’s ready to tackle challenges and seize opportunities.
At The Charity CFO, we’re here to help you master nonprofit budgeting. Whether you need help creating a budget, managing cash flow, or aligning your financial plans with your goals, our team is ready to support you.
Ready to take control of your nonprofit’s financial future? Schedule a free consultation with The Charity CFO today and let’s build a budget that empowers your mission.
Many nonprofit leaders think accounting belongs solely to their CFO or accountant. If you’re a particularly small organization, it may even be the CEO who wrangles an accounting spreadsheet every once in a while.
But what if the key to financial clarity and stability lies in sharing the load?
The truth is, many successful nonprofits empower leaders to manage their own department budgets.
Does this fill you with doubt and worry?
It can be hard to imagine this working in some settings, but it can be done with excellent results in many organizations!
In this article, we’ll explore why financial management is a shared responsibility and how nonprofits can use this strategy to drive their missions forward.
A single CEO, CFO or accountant should not hold all financial knowledge. Teams need collective accountability to stay agile and informed. By decentralizing financial responsibility, nonprofits unlock powerful advantages including:
This may be one of the main reasons a nonprofit would be hesitant to increase shared responsibility for accounting at their organization.
Your team works so hard and already has so much on their plates.
The last thing we want to do is increase stress, burnout, or take away from core responsibilities.
Solutions:
Some leaders may feel unprepared to take on financial responsibilities. Without proper training or support, it could indeed be a daunting and stressful task.
Solutions:
Leaders accustomed to traditional structures may hesitate to adopt a shared approach. Resistance to change is normal and to be expected in almost any situation. Approach team members feeling this way with empathy and kindness.
Solutions:
Accounting isn’t just the CFO’s job—it’s a team effort. By empowering your leadership team to share financial management responsibilities, you’ll build a stronger, more agile organization ready to tackle challenges and achieve your mission.
Take the first step toward shared financial responsibility by scheduling a consultation with The Charity CFO. Our team will help you modernize your systems, train your leaders, and guide your nonprofit toward a more sustainable future.
Ready to empower your leadership team with financial clarity? Book your free consultation today!
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As a nonprofit leader, you’re constantly looking for ways to streamline operations and maximize resources. When it comes to managing your organization’s workforce, you have two primary options: traditional payroll services or a Professional Employer Organization (PEO).
No matter which direction you end up going, it’s crucial to understand the importance of payroll compliance. As a nonprofit organization, there are many pitfalls around payroll and you need to be aware of the rules.
To learn more about the do’s and don’ts around payroll, check out this resource.
Traditional payroll services focus primarily on processing your organization’s payroll. This includes calculating wages, withholding taxes, and ensuring timely payments to employees. Many nonprofits handle payroll in-house or outsource to a payroll provider. Here’s what you can expect from traditional payroll services:
While traditional payroll services can be cost-effective for smaller nonprofits, they often lack the comprehensive HR support that growing organizations need.
A PEO takes a more holistic approach to workforce management. By entering into a co-employment relationship with your nonprofit, a PEO becomes the employer of record for your staff. This arrangement allows the PEO to offer a wide range of services beyond basic payroll processing. Here’s what a PEO typically provides:
When deciding between a traditional payroll and a PEO, nonprofits should consider several factors:
When evaluating your options, consider these nonprofit-specific factors:
Ultimately, the decision between traditional payroll and a PEO depends on your nonprofit’s unique needs, size, and growth trajectory. Here are some guidelines:
Remember, the goal is to find a solution that allows your nonprofit to operate efficiently while remaining compliant with all relevant laws and regulations. Whether you choose traditional payroll or a PEO, ensure that the provider understands the unique needs of nonprofit organizations.
At The Charity CFO, we understand the complexities of nonprofit finances and operations. While we specialize in nonprofit accounting and bookkeeping, we recognize the importance of efficient payroll and HR management in the overall financial health of your organization. If you’re struggling with payroll issues or considering a switch to a PEO, our team can help you analyze your options and make the best decision for your nonprofit’s future.
Don’t let payroll and HR challenges distract you from your mission. Focus on making a difference in your community, and let the experts handle the rest. Schedule a consultation with The Charity CFO today to discuss your nonprofit’s financial management needs and explore how we can support your organization’s growth and success.