Do you run a nonprofit organization in the U.S.? If so, you’re most likely working with a limited budget. You’re probably looking for free accounting software or free bookkeeping software for nonprofits that won’t hurt your budget. Since you run a nonprofit organization, you’re also probably looking for accounting software that is designed specifically for nonprofits (and not just designed to do the job of conventional accounting software).
Whether you’re just trying to write off some of your expenses or have a lot of donors that you want to track, there are great software programs out there that are free. My goal is to make sure you find the best free accounting software for your nonprofit organization.
QuickBooks Enterprise Nonprofit
Many nonprofit organizations end up cobbling together accounting, donor management, and payroll services by using multiple programs, making things confusing during end-of-year reporting. QuickBooks Enterprise Nonprofit is our choice as the best overall accounting software for nonprofits because it is a full-service program that allows you to track your finances, manage your donor lists, and even pay your staff. Pros
- Combines donation management, financial statements, and payroll services into one package
- Online backup and protection of your QuickBooks data
- Syncs with apps like Kindful
Cons
- Free trial unavailable on Enterprise edition
- You must pay an additional fee to get remote access
- Adding users can quickly drive up the monthly cost
QuickBooks Enterprise Nonprofit is issued by Intuit, the financial services and tax software company. Intuit was founded in 1983. Since its launch, it has become a household name, earning over $7.7 billion in revenue in 2020.
While there are cheaper versions of QuickBooks available for nonprofit organizations, we selected QuickBooks Enterprise Nonprofit because of its robustness. For large or growing organizations who need comprehensive accounting services, this program can be a good fit.
You can use QuickBooks Enterprise Nonprofit to track expenses and donations, budget by program and compare to actuals, and create donor and grant reports. This version of QuickBooks allows you to accept donations and securely store donor information in your database. If you upgrade to the Gold, Platinum, or Diamond plans, you can even get payroll services for your organization and pay your staff directly through QuickBooks.
QuickBooks integrates with several apps used by nonprofits including Kindful. If you use these apps as part of your fundraising campaigns, you can sync the data and import transaction details to streamline your reporting.
While other versions of QuickBooks have free trials, QuickBooks Enterprise Nonprofit does not. This version starts at $1,275 per year, but the price can increase based on what additional services you need. For example, the Platinum plan costs $2,035 per year.
The default version is only available via desktop, so employees cannot access it remotely. If you want to add cloud-based access, you’ll need to pay an additional fee for hosting for each user that will be using the program. For example, the cost for two users to remotely access the Diamond plan is $3,572.40.
For smaller nonprofits or nonprofits who are just starting out, you probably don’t need software with as many features as QuickBooks Enterprise Nonprofit. For smaller organizations and charities with more basic accounting needs, QuickBooks has other plans that start at lower prices such $25 per month.
ACCOUNTS from Software4Nonprofits
For small organizations like churches or community organizations, we selected ACCOUNTS as the best accounting software. It’s affordable and easy to use, with all of the necessary features you need to track income and expenses and create reports. Pros
- 60-day free trial and 30-day money back guarantee
- The standard version costs just $130 for the first year
- The program can be used for the accounting of multiple organizations (up to 5) at no additional cost
Cons
- The desktop program can only be used on Windows
- You have to purchase a separate donation program to track donors
- Only one user can do data entry at a time with the standard version
ACCOUNTS through Software4Nonprofits is a program offered by Cooperstock Software, a small company based in Canada. The company was founded by the treasurer of a religious finance committee because he had difficulties finding software that met his needs. He created ACCOUNTS as an alternative to the more expensive and complex accounting programs available at the time.
ACCOUNTS is an easy-to-use platform designed specifically for small organizations and churches who need basic bookkeeping and accounting services. The program allows you to track income and expenses, track fund balances, associate accounts with lines on your IRS tax forms, and create detailed reports.
If you’re responsible for managing the accounting for multiple organizations, such as the school PTA and your child’s sports team, you can use the software to handle the accounting for both at no additional cost.
The standard version of ACCOUNTS is $130 for the first year. After that, it costs $65 per year. You can try ACCOUNTS for free for 60 days, and you can download the free version online. ACCOUNTS also has a 30-day guarantee if you purchase the program. If you’re not satisfied with your purchase and no longer intend to use it, the company will give you a full refund.
Unfortunately, ACCOUNTS was designed for Microsoft Windows and the desktop version is only available for that operating system. However, there is a cloud-based, browser version called OnDemand that works on most platforms including Mac. Under the standard version, only one user can do data entry at a time. If you upgrade to the local network version—which costs $220 for the first year—up to five users can access the database at once.
If you want to track donations and donor information, you’ll need to purchase additional software. Cooperstock Software offers another program called DONATIONS, which is free if you have 100 donors or less per year. Larger organizations will need the paid version of DONATIONS.
Financial Edge by Blackbaud
For large organizations that want enterprise-level accounting, Financial Edge is the clear choice. It integrates with Raiser’s Edge, a program of choice for donor and constituent management, and allows you to track expenses and budget across fiscal years. Pros
- Cloud-based software that can be managed remotely
- Integrates with Raiser’s Edge donor management software
Cons
- Lack of pricing transparency on the site
Financial Edge is a product released by Blackbaud, a leading software company that caters to nonprofit organizations, educational institutions, and healthcare facilities. It serves millions of users in over a hundred countries worldwide.
For large nonprofit organizations that have significant accounting needs as well as employees and a large donor-base, Financial Edge can be an excellent fit and it’s our top choice for large organizations.
Financial Edge is a cloud-based program, so you can use it from any laptop. You can use Financial Edge to create budgets, track expenses, manage cash flow, and handle the general ledger. It has expanded budgeting capabilities, so you can forecast different scenarios and budget across fiscal years.
Financial Edge also integrates with Blackbaud’s Raiser’s Edge, the gold-standard program for donor management and fundraising, so you can make sure your organization’s efforts are cohesive.
Sumac by Silent Partner
For nonprofit organizations that need customizable donation tracking and donor management tools, Sumac is our top choice in our review. With affordable pricing, free training sessions, and built-in email marketing, Sumac is a powerful fundraising tool. Pros
- Affordable pricing and different packages available
- Staff and volunteers can access databases simultaneously from anywhere
- Customizable donor profiles
Cons
- Does not include general accounting capabilities
- Implementation services and data migration may be an additional cost
- Additional training costs $150 per hour
Many small and midsize nonprofit organizations have excellent accounting software and keep their financials in good order, but need help when it comes to donor management and donation tracking. If you’re relying on multiple spreadsheets or outdated databases, Sumac can be an affordable upgrade that can streamline how you work with your constituents.
Sumac was launched in 2003 and supports thousands of nonprofit professionals around the world. In 2018, Sumac became part of Silent Partner Software Inc and is offered alongside other products like PartnerHR.
With Sumac’s fundraising program, staff can access critical data from anywhere, and they can view databases at the same time, so they always have the most up-to-date information. The program allows you to create customizable donor profiles so you can adjust fields to meet your organization’s needs.
Within Sumac, you can see each donor’s history with your organization, including past donations and communications. You can also create reminders to follow up with key donors.
Donation details can be converted into ledger entries and reports for your bookkeeper or accountant, and you can craft summarized annual giving reports.
The price for Sumac ranges from $35 per month to $250 and up per month, depending on your organization’s needs and number of records. Other services, like online donation acceptance, website management, and course registration require additional fees. With your fee, you get free training. If you need additional training, you’ll have to pay $150 per hour.
GnuCash
GnuCash is a small-business financial accounting software available for Windows, Mac, and Linux users. Along with standard accounting software functions such as transactions and financial calculations, it also features a double-entry system and the ability to account for multiple currencies.
GnuCash is also consistently being developed by the GnuCash Project and offers substantial user support through bug reports and team chat. GnuCash is a fantastic option to go with for any small nonprofit.
Have you used GnuCash? Be sure to leave a review!
Invoice Expert Lite
Offering a litany of features, Invoice Expert Lite is the free version of the company’s full accounting software. Under the Lite edition you have access to invoicing, quoting, inventory control, custom tax settings, payment history, as well as other accounting features.
In addition to these features, Invoice Expert also offers tech support to help with any glitches or questions with the software. If you choose to upgrade your software, Invoice Expert doesn’t require you to re-download your software all over again; you can just purchase the full software for $69.95.
Have you used Invoice Expert? Be sure to leave a review!
TurboCASH
TurboCASH is an on-premise, entry-level, open-source accounting software option made for single users and smaller networks. Features include automated billing, accounts payable and receivable, invoicing, credit card processing, etc. This software runs on Windows, Mac, and Linux.
Being an open-source program, formal support (beyond user forums) is non-existent. However, considering the 4.8 out of 5 star rating on Sourceforge, TurboCASH is considered a reliable software option. It may not be pretty looking, but brings solid functionality to the table.
Have you used TurboCASH? Be sure to leave a review!
SVERDYSH
Despite being another plainly designed software tool, SVERDYSH is a functional program which offers all standard accounting features, such as invoices, account tracking, profit/loss trackers, balance sheets, and bank account tracking. SVERDYSH is unfortunately limited to Windows operating systems, however it is functional on all Windows platforms from XP and beyond.
Information of this software is limited on its own (remarkably outdated looking) website, which calls into question the amount of support that is offered with it, if any.
Have you used SVERDYSH? Be sure to leave a review!
BS1 General Ledger
CNet boasts BS1 General Ledger is a “high-quality business software” which offers double-entry accounting, financial transaction tracking (inbound and outbound), balance sheets, and offers detailed reports. It is a great choice for starter accounting.
Once problem noted on CNet was the lack of an Excel formatting for reports, so those who use Excel in their finances should consider that when looking at BS1 General Ledger. Davis Business Systems, which developed this software, also offers the source code for programmers to modify to their needs.
Have you used BS1 General Ledger? Be sure to leave a review!
VT Cash Book
VT Cash Book is a basic data entry and accounting software option without too many visual bells and whistles, but considering its lack of a price tag, it doesn’t have to look pretty. Features include “fast” data entry, multiple bank/cash account handling, bank reconciliation, VAT returns (which is useful for international organizations that deal with value added taxes), and balance sheets/ledger reports.
The list of system requirements is amazingly short, only mandating that you run Windows 2000 or later. Unfortunately this isn’t good news for Mac and Linux users.
Have you used VT Cash Book? Be sure to leave a review!
Adminsoft Accounts
In addition to a detailed website, Adminsoft Accounts also offers its own instructional videos on Youtube to show customers how every single function of their software works. This could count as a detailed support channel, which is a rare feature with free software.
This option offers your typical accounting software features such as invoicing, statements, and reports, but also offers HR features and payroll. It is a very well rounded software option.
This software is offered on PCs running Windows 98 to Windows 10. The vendor also lets customers know that their software is functional on Mac so long as it is run on a Windows emulator.
Have you used Adminsoft Accounts? Be sure to leave a review!
xTuple PostBooks
PostBooks is a very polished and well rounded software option that encompasses accounting, customer relationship management (CRM), and enterprise resource planning (ERP) features. It offers your standard accounting features such as general ledger, accounts payable and receivable, and bank reconciliation, along with CRM and ERP features such as address books and vendor lists.
PostBooks has a polished and modern look, which you typically expect from a paid software option. Unfortunately this option is only free with one user and additional users requires additional purchased product keys.
Have you used xTuple PostBooks? Be sure to leave a review!
FrontAccounting
The beauty of open source software, such as FrontAccounting, is the collaborative effort on the part of code savvy users to improve the source code and create an improving product over time. FrontAccounting is an open source small business accounting solution which includes a full arsenal of accounting features such as allocations, sales orders, accounts payable, and a general ledger.
The newest version released in February of 2016 is currently available for Windows, Mac, and Linux and even offers multiple user access.
Have you used FrontAccounting? Be sure to leave a review!
Ledger Lite
Ledger Lite is the free version of the paid open source software, Ledger. They boast their software as being the “world’s simplest accounting software” and their features include balance sheets, general ledgers, comparative reporting, tax calculations, and income statements.
One interesting perk to Ledger Lite is the quick download with no formal installation. The program runs off of a “.exe” format, which allows for immediate use as soon as the file is downloaded. However, as a trade off, this means that Ledger Lite is only available for Windows due to the file format. We can’t get everything we want.
Have you used Ledger Lite? Be sure to leave a review!
Conclusion
Have you ever thought about the accounting process for nonprofit organizations? Before it even begins, there are already a lot of things to worry about; how much money should be allotted for certain tasks, which projects to fund, how many hours it will take to implement certain procedures, and so on. The list goes on. This is why it’s always good to get creative when it comes to making the accounting process easier for nonprofits. Every dollar counts after all; especially if you want to continue providing services that are free or that people can afford despite the fact that their wallets are empty.