Financial Management
Effective financial management is a critical part of organisational sustainability and your accounting and reporting systems in your organisation should be accurate and transparent.
Financial management also includes proper management of assets, accountability reporting on grants, reporting annual accounts, and legal requirements such as audits, reviews and annual returns (Source: Ministry of Health NGO Health and Disability Network).
For smaller organisations it doesn’t need to be complicated, in essence you just need to be able demonstrate the money you have received and how it has been spent. The larger the organisation the more important financial accounting and reporting systems become to keep track of income and expenditure.
He aha te mea nui o te ao
What is the most important thing in the world?
He tangata, he tangata, he tangata
It is the people, it is the people, it is the people
Māori Proverb
General Information
Articles
Reading
Introduction to financial management
Financial management is managing money received or spent. Doing it well is essential to any community group’s survival. Financial management has three basic parts to it: planning on how to fund raise and spend money, record keeping and reporting.
The Keys to Growing Your Nonprofit: Effective Finance & Operations Management
A practical three-part online training series on not for profit finance and operations. It explores best practices in the financial, accounting, risk management, insurance, advocacy, and lobbying arenas with domain-specific experts, who will share their hard-won, field-tested tips, tools, and tactics.
Specific Topics
Reading
Nonprofit Finance: 12 Golden Rules
Articles on golden rules for nonprofit finance, including budgeting, diverse funding sources, and interdependence.
Financial management for NFP’s
Guide for financial management of not-for-profits
Nonprofit Finance: 12 Golden Rules
Articles on golden rules for nonprofit finance, including budgeting, diverse funding sources, and interdependence.
Not-for-Profit Budgeting and Financial Management
by Edward J. McMillan
Offers a financial planning system that is easy to use and monitor plus ensuring true fiscal accountability in the complex not-for-profit arena.
This initiative assists community groups outside the main centers with their financial accounting, using virtual technology such as Zoom with assistance of distance students enrolled in accounting degrees at Massey University. Community groups only require a computer with a camera and an internet connection to become involved.
For information please contact:
Geoff Andrews — Project Manager
Email: geoff@ancad.org.nz
Mob: 021 0546240
This resource is mainly directed at personal finance and is full of useful information about how money pressures affect mental health, and it explores practical, essential skills to better manage finances and debt.
Specific Information
Reading
To determine what Tier your organisation is in and what your obligations are.
Do we need to have our accounts audited?
Reading
Find the answer here
External Reporting
Reading
Developing and publishing financial reporting standards to ensure the content, reliability and quality of financial and performance statements meet minimum standards. This ensures governance groups, members, funders, and donors can read them and make informed decisions. https://www.xrb.govt.nz/
Details about the reporting standards are available on https://www.xrb.govt.nz/accounting-standards/not-for-profit/
Webinar
Managing your money and assets webinars
Range of webinars on financial management by the Ministry of Health NGO Health and Disability Network
Intro to Non Profit Finance
Video
Intro to Nonprofit Finance
Lecture on financial management inclusive how to read a balance sheet.
A Five-Step Guide to Budgeting for Nonprofits
Developing an operating budget for not for profits