Fiscal management services for nonprofits
Fiscal Management Inventory
The purpose of this survey is to provide the organization an inventory of financial infrastructure. It is a guide to help direct focus on potential areas of concern and help prioritize efforts for corrective actions.
To complete the Survey:
· Answer each question by circling the appropriate answer using the scale of 1 being true and 5 being false.
· Add the value of answers in each section. A scoring schedule is on the last page
· All answers and scores shared with the Balanced Act, LLC are kept strictly confidential.
1. True
2. Somewhat True
3. Neither True nor False
4. Somewhat False
5. False
6. Don't know
ACCOUNTING SYSTEMS & SERVICES
Financial statements are consistently and timely reconciled and distributed on a monthly basis.
1 2 3 4 5 6
Financial statements compare actual with budgeted figures for income and expense.
1 2 3 4 5 6
A/P (Accounts Payable) reports are produced and reviewed monthly.
1 2 3 4 5 6
A/R (Accounts Receivable) reports are produced and reviewed monthly.
1 2 3 4 5 6
Key staff and Board of Directors members are trained on how to read and interpret the organization’s financial statements.
1 2 3 4 5 6
The organization currently possess comprehensive written policies and procedures guiding fiscal internal controls (e.g., cash handling, bank deposits, purchase approvals, check signing authority, segregation of duties, investment and debt authorization, etc.)
1 2 3 4 5 6
Year-end financials are prepared and ready for review within 45 days of the end of the fiscal year.
1 2 3 4 5 6
The organization annually reviews the performance of the in-house accounting software or outsourced accounting services.
1 2 3 4 5 6
TOTAL SCORE ACCOUNTING SYSTEMS & SERVICES:________
EMPLOYEE BENEFIT PLANS
The organization offers core employee benefits such as health and dental insurance.
1 2 3 4 5 6
The organization offers supplemental employee benefits such as long-term disability, short-term disability, life insurance and retirement savings tools.
1 2 3 4 5 6
Management is aware and monitors the paid time off liabilities such as vacation and sick leave.
1 2 3 4 5 6
The organization offers a Section 125 cafeteria plan.
1 2 3 4 5 6
A cost-benefit analysis for employee benefits plan is conducted on a regular basis.
1 2 3 4 5 6
The costs of employee benefits is built into the costs of running programs or producing products.
1 2 3 4 5 6
TOTAL SCORE EMPLOYEE BENEFIT PLANS: ________
BUDGETS & FISCAL PLANNING
A comprehensive budget is prepared annually.
1 2 3 4 5 6
The overall organizational budget highlights or defines programs and/or business units.
1 2 3 4 5 6
Key members of the staff and Board of Directors offer input and oversight of the budget process.
1 2 3 4 5 6
The budget is regularly used as a management tool to assess income, expenses, performance, and profitability.
1 2 3 4 5 6
The budget remains fixed throughout the organization’s fiscal year.
1 2 3 4 5 6
TOTAL SCORE BUDGETS & PLANNING:________
FINANCIAL ANALYSIS & REPORTING
Independent audits or reviews are conducted annually by a Certified Public Accountant.
1 2 3 4 5 6
Supplemental financial analysis reports (e.g., inventory turnover, grant spending, cash flow) are customized to the organizational needs and are distributed and reviewed on a timely basis.
1 2 3 4 5 6
Accurate and timely financial information is provided to funders and lenders.
1 2 3 4 5 6
All compliance findings issued by auditors has been resolved.
1 2 3 4 5 6
A cash position statement is readily available each month.
1 2 3 4 5 6
Management is aware of the costs to operate a program, provide a resource, or produce a product.
1 2 3 4 5 6
TOTAL SCORE FINANCIAL ANALYSIS & REPORTING:________
_____________________________________________________________________
Scoring Results
Instructions: Add up the value of the answers in the individual sections. Refer to the scale in each section to determine the overall health of the organization is each area.
ACCOUNTING SYSTEMS & SERVICES TOTAL SCORE:
0-10
Financial Systems are healthy and can support organizational growth and change.
11-18
Financial Systems are able to handle current activities but some operational areas are limited or having difficulties. Infrastructure needs work to assure more efficient operations and to save time and money.
19-25
Errors and problems are occurring frequently. Organizational leadership does not have the information it needs to manage most effectively.
26 +
An absence of or impaired financial system is putting organizational goals at risk. Urgent attention is needed.
EMPLOYEE BENEFIT PLANS TOTAL SCORE:
0-8
The organization offers a comprehensive, competitive, cost effective benefits package.
9-16
The organization has a good start with setting up and maintaining benefit plans. They should be monitored on a regular basis to maintain cost effectiveness.
17-23
While some benefits may be offered it is unclear if they are competitive in nature with other like organizations or if they are cost effective for the organization. A review of the costs and the related return on investment is required.
24 +
There is a significant deficit with employee total compensation packages. If it is not possible to offer benefits, or the staff is too small to qualify for group plans, a review should be conducted to determine other areas within the compensation package to assist staff with individual costs.
BUDGETS & FISCAL PLANNING TOTAL SCORE:
0-6
The budget and planning systems are in place and appropriately monitored to provide insight to the overall operations of the organization.
7-12
The processes and understanding of the budget and planning may be limited and only occasionally used to manage the programs. Involvement in preparation and monitoring of the budget needs to be implemented.
13-20
The organization struggles with implementing and managing to a budget, they are unable to provide accurate projections. Problems exist with providing management complete data to monitor current and future activities.
21 +
The absence of a budget or fiscal management projections has a crippling effect on the organization. It is impossible to tell how the organization is operating based on projections. Therefore, management has no information to anticipate areas of concern.
FINANCIAL ANALYSIS & REPORTING TOTAL SCORE:
0-10
Financial Analysis and Reporting systems are in place. The staff and board receive appropriate information and can rely on reported data.
11-18
Some reporting mechanisms are in place but may not be consistent or readily available. A Review of the systems for reporting systematic, consistent, and accurate reports should be performed. All financial reports should be easily replicated within the accounting system.
19-31
The organization struggles with producing comprehensive financial reports in a timely and consistent manner. Reports may be late, inaccurate, or not have integrity. Information is not made available to management consistently.
32 +
Reports are non-existent. The organization will not thrive if they are unaware of where they are financially or where they are going. Immediate attention is required.