We work as accountants. If you told us we'd have to run a fundraising campaign, we'd probably feel like a fish out of water. Isn't that how you feel when you consider bookkeeping or payroll processing for your nonprofit organisation?
First, what is the primary advantage? Bookkeeping outsourcing is frequently less expensive than hiring a single person to handle numerous bookkeeping activities. And, as a result, the nonprofit's talent can focus on what they do best: administering the organisation and obtaining funds.
While outsourcing has a number of benefits, we've selected the top seven for non-profit organisations, which are stated below.
- Increase efficiency and cut expenses:
The less time regular staff spends on tasks that can be outsourced, the more time they have to collect funds and carry out the nonprofit's goal. Working with a payroll service can also significantly lower the direct expenses of payroll processing.
- Increase your level of expertise:Many NGOs cannot afford to hire someone with the specialised knowledge and continuous education requirements required for bookkeeping or payroll tasks. Organizations have the advantage of a professional's experience as well as possibly proactive advice by outsourcing these duties.
- Increased supervision reduces the risk of fraud:Accounting duties segregation is one of the most effective anti-fraud procedures that a nonprofit may do; hence, splitting jobs between staff and an outside CPA company minimises the risk of fraud intrinsically. CRI's non-profit CPAs may also design a complete internal controls programme to safeguard the organisation.
- Remove any technological barriers:Do you get goosebumps just thinking about switching to new technology? Bookkeeping and payroll software must be updated on a regular basis, which adds cost and complexity. Outsourcing eliminates this worry because outsourcing partners are responsible for upgrading to the most recent technology and educating workers on how to use it.
- Prevent accounting brain drain:If your bookkeeper or controller changes jobs, their knowledge of the Bookkeeping Services and payroll processes follows them. Using a third-party solution removes that commercial risk.
- Direct deposits should be streamlined:If a company does not employ an independent payroll agency, it is impossible to provide direct deposit. More crucially, direct deposit removes the requirement for time-consuming and error-prone paper handling—as well as the necessity to reconcile individual payroll checks each month.
- Keep up to date with legal frameworks:Most businesses do not have the time to stay up to date on continuously changing legislation, withholding rates, and IRS documents. Using the incorrect tax tables might result in severe fines. Payroll outsourcing eliminates such problems and keeps payroll going smoothly.
Paywerx, Filing Taxes' non-profit CPAs and payroll subsidiary, can handle all of your accounting outsourcing needs. Our staff can not only replace specific jobs for your organisation, but we can also set up a virtual accounting department. We can keep books and general ledgers, generate yearly financial statements, talk about cash flow planning, manage payroll, advise on budgeting and financial decisions, and handle various accounts receivable and payable activities.
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