Non-Profit Bookkeeping Services – 8 Questions Answered.

Introduction 

In the world of non-profits, financial transparency is paramount. Proper bookkeeping not only fuels the operational aspects of non-profit organisations, but it also builds trust among donors, members, and the community. This article aims to answer eight critical questions about non-profit bookkeeping services in Australia. 

Table of Contents 

1. What is a non-profit organisation? 
2. How is a non-profit different from a charity? 
3. What is Bookkeeping? 
4. Do non-profits need Bookkeeping Services? 
5. Can Bookkeeping be outsourced? 
6. What are the benefits of outsourcing Bookkeeping for non-profits? 
7. How much does Bookkeeping cost in Australia? 
8. How much does outsourced Bookkeeping cost in Australia? 
9. Conclusion 
10. About Us 

A non-profit organisation is an entity that does not operate for the profit, personal gain, or other benefit of particular people [1]. This applies both while the organisation is operating and if it closes down [1]. In Australia, non-profit organisations are usually established as companies, trusts, or incorporated associations [2]. 

While all registered charities are not-for-profit, not all not-for-profit organisations are charities [3]. A charity is a specific type of not-for-profit organisation that must meet strict guidelines to qualify as a registered charity [4]. These guidelines include being a not-for-profit, having only charitable purposes, operating for the public benefit, and complying with the Australian Charities and Not-for-profits Commission [4]. 

3. What is Bookkeeping? 

Bookkeeping is the practice of recording and tracking the financial transactions of a business [5]. It involves recording transactions and storing financial documentation to manage the overall financial health of an organization [5]. 

4. Do non-profits need Bookkeeping Services? 

Yes, like other businesses, not-for-profit organisations must follow industry benchmarks for bookkeeping [6]. These include tracking and recording all donations, grants, and gifts, managing all reporting and compliance obligations, and reviewing budget, forecasting, and minimising expenses [7]. 

5. Can Bookkeeping be outsourced? 

Absolutely! Outsourcing bookkeeping is a common practice in Australia [8]. It allows businesses to delegate their bookkeeping tasks to external experts, freeing them to focus on their core operations [8]. 

It can also be much more cost effective for organisations who don’t require extensive or full-time bookkeeping. Outsourcing allows organisations to utilise only the hours they require each week, saving on downtime for employed staff and taking advantage of low bookkeeping rates available from outsourced bookkeeping providers.  

6. What are the benefits of outsourcing Bookkeeping for non-profits? 

Outsourcing bookkeeping can offer numerous benefits for non-profits. It can reduce costs, enhance accuracy, improve financial management, provide access to expert knowledge, and offer better data security [9]. Moreover, it can help non-profits navigate through the funding and compliance environment to have greater transparency of their financial health [10]. 

Many outsourced bookkeeping providers for non-profits offer low rates which allow non-profits to direct more of their resources to their core mission. This can be particularly beneficial for charities whose missions are to provide resources to important causes and need to run as efficiently as possible. 

7. How much does Bookkeeping cost in Australia? 

The cost of bookkeeping services in Australia can vary widely, depending on the complexity and volume of transactions. On average, you can expect to pay between $30 to $100 per hour for bookkeeping services [11].

Hiring a bookkeeper comes with other associated costs such as recruitment costs, leave entitlements, superannuation and general overhead expenses. 

8. How much does outsourced Bookkeeping cost in Australia? 

The cost of outsourced bookkeeping in Australia can range from $500 to $2,000 per month, depending on the type of bookkeeping support you opt for [12]. The cost can be influenced by factors such as the size and complexity of your business, the number of financial accounts you need to connect, and the overall complexity of your financial situation [13]. 

When choosing an outsourced bookkeeping provider for your non-profit, you should assess the expertise and qualifications of the provider as well as their costs and the flexibility of their options. Select a provider that tailors their service to your needs and allows you to choose only the hours you need each week.  

9. Conclusion 

Non-profit bookkeeping is a critical aspect of running a successful organisation. Whether managed in-house or outsourced, it ensures financial transparency and accountability, which are crucial for maintaining trust with stakeholders. As the non-profit sector continues to evolve, so too will the strategies for managing its finances. By staying informed and adaptable, non-profit organisations can continue to thrive and make a positive impact on society. 

10. About Us 

International Outsourcing Group provides outsourced Bookkeeping Services, Marketing Services and Administration Services to businesses and non-profits across Australia. 

Our Bookkeeping Services are perfect for non-profit organisations including charities. You can select the number of hours of bookkeeping you need from as little as 2 hours a week.  

Our Bookkeeping rates fall between $27.10 and $34.85 per hour. We have no establishment fees or additional charges, just a simple fortnightly payment.  

All of the work done by our team members is managed and reviewed by our Chartered Accountant Managers so you can be sure you will receive top quality bookkeeping services. 

Consider using us for your non-profit bookkeeping needs.  

For more information, visit our website internationaloutsourcinggroup.com and use our free pricing calculator to obtain your quote. 

1. https://www.acnc.gov.au/for-charities/start-charity/not-for-profit 
2. https://www.a4id.org/publications/guide-to-establishing-non-profit-organisations-in-australia/ 
3. https://www.nfplaw.org.au/free-resources/getting-started/charity 
4. https://au.prosple.com/career-planning/not-for-profits-charities-ngos-whats-the-difference 
5. https://www.forbes.com/advisor/business/what-is-bookkeeping/ 
6. https://www.agibookkeeping.com.au/bookkeeping-for-nonprofits-a-basic-guide-best-practices/ 
7. https://www.agibookkeeping.com.au/non-profit/ 
8. https://befreeltd.com/au/blogs/quick-guide-outsourced-bookkeeping-and-accounting-solutions-for-businesses-2024/ 
9. https://www.remotestaff.com.au/blog/outsourcing-bookkeeping-top-benefits/ 
10. https://www.enkel.ca/blog/bookkeeping/outsource-non-profit-bookkeeping/ 
11. https://www.oneflare.com.au/costs/bookkeeping 
12. https://www.ikeep.com.au/process/outsourced-bookkeeping-cost/ 
13. https://www.elementsadvisorygroup.com.au/how-much-does-outsourced-bookkeeping-cost/