Bookkeeping for organizations that do good.

Nonprofits and registered charities have fundamentally different accounting requirements than for-profit businesses. You do not have shareholders — you have donors, funders, and a board of directors who all need to know that money is being used as intended. Fund accounting is not optional; it is the standard for nonprofit financial management, and most general bookkeepers have never done it.

The core challenge is tracking restricted funds. When a granting foundation gives you $50,000 for a specific program, that money cannot be mixed with your general operating funds. You need to track how every dollar of that grant is spent, report back to the funder on utilization, and ensure the remaining balance is accurately reflected on your financial statements. If your books do not support this level of tracking, you risk losing future funding.

CRA compliance adds another layer. Registered charities must file the T3010 Registered Charity Information Return annually, which requires detailed financial reporting that goes well beyond a simple income statement. CRA reviews these filings to ensure your organization is meeting its charitable purpose and spending requirements. Errors or late filings can jeopardize your charitable registration.

Then there is the reality of nonprofit operations: tight budgets, volunteer boards that need clear financial reporting, multiple revenue streams (donations, grants, events, earned revenue), and the constant tension between mission spending and administrative overhead. Your bookkeeping needs to make all of this transparent and easy to understand — for your board, your funders, and CRA.

Fund tracking

We set up your chart of accounts with separate tracking for each fund — general operating, restricted grants, designated donations, and endowment funds if applicable. When a $25,000 grant comes in for your youth program, we code it to that specific fund. When you spend from that grant, every expense is tagged to the same fund. At any point, you can see exactly how much remains in each fund and produce funder reports in minutes, not days.

Grant compliance

Most grant agreements come with specific spending requirements and reporting deadlines. We track each grant as its own mini-budget — approved budget versus actual spending — so you always know where you stand. When it is time to submit a funder report, the data is already organized. We can produce grant utilization reports showing exactly how funds were spent, matching the categories your funder requires.

T3010 preparation

The T3010 Registered Charity Information Return requires detailed financial schedules that go beyond a standard P&L. We prepare the Statement of Financial Position, Statement of Activities, and all supporting schedules with the proper CRA categorizations. We ensure your disbursement quota calculations are correct and that your administrative spending ratios are within CRA guidelines. This protects your charitable registration.

Board reporting

Your board needs financial information they can understand and act on. We produce monthly board reports that show the big picture — total revenue versus budget, spending by program area, fund balances, and any items that need board attention. We keep the format consistent and clear so board members can focus on governance, not on trying to decipher accounting jargon.

Nonprofit bookkeeping FAQ