 take us away. Greg, that was so awesome. Okay, we had a little dialogue before this. Okay, you brought the heat today. So y'all are in for a great webinar. Thank you so much for that. So we are excited. This is our very first webinar just being taught about the ABTs of keeping your books for nonprofits. So you all know that you're on mute. I want to go over a little housekeeping real quick. This is being recorded. You're going to get the recording and the slides within 48 hours. And that is amazing, right? So somebody's already turned on the closed caption. If you need the closed caption, just tap on the CC button at the bottom of your screen. And if you learned something cool today, why don't you share it out? Hashtag TechSoup. And just so you know, if you have to leave early, you're going to get a survey that's going to pop up. It's going to take you 30 seconds to complete. We would love for you to complete that survey. And now I am going to turn it over to Greg to introduce himself and the team. All right. All right. All right. So first of all, thank you very much for joining. Second of all, I am a CPA. And I specialize in accounting for nonprofit organizations. All right. So I have an accounting for a minute, Lana. And all we do is teach nonprofits how to use QuickBooks. And we also have consulting arrangements with them. We have tech support agreements where we help them. They call with questions. We do about 35 or 40 audits a year, only of nonprofits. We do about 159 90s and growing there. We do regular bookkeeping. So I have the accounting firm. And then I also own QuickBooks Made Easy. And QuickBooks Made Easy is, as you might imagine, an accounting. I mean, it's a nonprofit organization. I'm trying to get to where it is here. And all QuickBooks Made Easy does is train people on how to use QuickBooks. And we do trainings all over the country, even outside of the country. We also have all kinds of services that we offer. But one of the things that we do is we do webinars and we do them for TechSoup. And Aretha, you know, we always do these QuickBooks webinars, but Aretha was like, you know, we really need to have a webinar that is just for people that need basic accounting stuff. And so, and boy howdy was she right because we've got 428 people that are in on this call. Over a thousand people signed up and we'll be getting the recording. So obviously, this is absolutely needed. All right. So let's see, what did I want to say also? So this is our team at this point. There are a couple of others, but these are the people that you need to know. That's myself. Paige Hudson Garcia is in the background and she will be doing questions. Usually when I do these webinars, if you've seen me teach before, I have people put stuff in the chat. Don't do that. Do Q&A today because we have too many people on the call for me to even look at the chat. So Paige will be handling Q&A in the back, as well as question. Yes, her name is Question. All right. So both Paige, who is up here, and Question, who is down here, are on the call right now. And do you want to come and say hello, people? Question and Paige, you want to just say hello to everybody? Hi, everybody. Glad to see you all today. All right. Okay, cool. So they are both accountants that specialize in nonprofit organizations. I'm sure a number of you have already been working with them. But anyway, so they are here. Barbara Starley's not with us. She just does houses of worship. She's on vacation. And then Bill Sims is in the background. He's part of our marketing team. So we are here to help you. And today we're talking all about, let's see, we're talking about accounting. So this is our agenda. Oh, thank you, Stephanie. Look at that. This is what we're talking about today. We're going to be, oh, by the way, pay attention. I know it's free, but pay attention. Okay. So it's going to be quite exciting. All right. So we're going to talk about accounting. We're going to define it and how it works. We're going to learn how to read financial statements. We're going to understand and learn what the best reports are to give to the board of directors each month. We're going to look at the three, I'll say it again, three important things that you need to track when you're entering transactions. And then for those of you that are using QuickBooks at the end, we're going to show you where the places are to track those three things in QuickBooks and then where to go to get some more information. All right. So if there's anybody that has never used Zoom before, I will tell you how to make the screen bigger. If you just kind of roll your mouse around where my face is, you'll finally see this whole thing that pops up view right here at the top right. And if you push that and click full screen, it'll make your screen go boop. And then you'll be able to see everything. Okay. So that's how to make the screen bigger. And I think that is it. I do have a couple of polls I want to point out. So I'm going to pop up a poll right now. And the first poll would be just going to launch this one. I am curious to see what accounting package you're using. So I want every single solitary person. And at this point, we have 523 people on the call to please let me know. Are you using QuickBooks online, a QuickBooks desktop, Sage, which is also called Peachtree, zero, not too big in the United States, but they're big in I think Australia, if I'm not mistaken, in the United Kingdom, something else and then don't know or don't have one. Now I am curious. I told you not to use the chat for questions, but those of you that said you're using something else besides QuickBooks online, desktop, Sage or zero, tell me what you're using. I'm curious as wave and accounting software package, I've never heard of these things. I love the person that said Excel spreadsheet. There's another one Abigail bless you, my child. All right. All right. So anyway, I'm going to go ahead and in the poll, and I'm going to share the results just so that you can see it's kind of an interesting thing to see that over half of you are using QuickBooks online, a third of you are using QuickBooks desktop. So we've got basically 90% of you are using QuickBooks of some sort and there's two thirds of you using online versus one third for desktop. So I think you can see the writing on the wall of what's happening with QuickBooks desktop. Eventually everybody will be using QuickBooks desktop, but that's not what we're here to talk about today. We are here to talk about what is accounting. Okay. So now, you know, there's people that take classes in that in college, right? And I know a lot of you were just kind of thrown into this thing that's like, Oh, I got to do the books and I don't know anything about books. So that's why it's important that you have a basic understanding of accounting. Otherwise, you're kind of always going to be lost when you're trying to do reporting and stuff like that. No, no, no, Martha, everybody is moving into QuickBooks online, not QuickBooks desktop. Okay. All right. So accounting 101, what is accounting? All right. So accounting can really be summed up in this one slide. Accounting is a process. It's a process of entering transactions. All right. You take your fingers and you enter transactions. Okay, either that or you add them from a bank feed if you're in the online edition, all the money going in and all the money going out and you enter all these transactions and they go through a list called the chart of accounts, which is the backbone of your entire accounting system. And then from there, they go on to the financials. And there's two financials that really are the whole ball of wax when it comes to accounting. And that is the profit and loss and the balance sheet. So all accounting is is entering transactions so that you can and those transactions appear on those two reports and you use those reports to analyze your organization. Okay. That's all accounting is entering transactions. So they appear on these two reports. Okay. So what I want to do is I want to start by defining how to read these two reports. Okay. So the way I'm going to do that is I'm going to go into QuickBooks and I'm going to pull up a couple of these reports. Now I'm going to use desktop for a little while of QuickBooks and then I'm going to go to QuickBooks online and use that a little bit because doesn't really matter which one I'm in. A financial statement is a financial state. Okay. So first thing I'm going to do is I'm going to tell you there are two reports. One of them is called the balance sheet. So I'm going to pull up a balance sheet and I'm going to talk about what that means. Okay. Now the balance sheet there's another name for it. Does anybody know what the other name is? And this isn't a question so you can put this in the chat. What's the other name of a balance sheet that nonprofits call it? Does anybody know? You can put it in the chat. It's called the statement of financial position is what it's called. Somebody said the profit and loss. No, that's the other statement. Okay. There's the balance sheet and there's the profit and loss. We're talking about the balance sheet. Okay. So which is also sometimes called the statement of financial position. Now the balance sheet you can think of it as a picture. Somebody took a camera and they went and they took a picture of your organization at a point in time. This picture was taken on June 30, 2025. And what this balance sheet records is basically, well first of all, the balance sheet is made up of a top half and a bottom half. The top half is made up of something called assets. And assets is just the stuff that your organization had when the picture was taken. Remember this is a snapshot. Click. Okay. So it's the assets. It's everything that they had and the bottom half is made up of liabilities and equity and liabilities and equity equals assets. They balance or equal. That's why it's called a balance sheet. If you ever pull up a balance sheet, you'll see your total assets, 129,605, liabilities plus equity, 129,605. Assets equal liabilities and equity. Okay. So what are assets? So let me stop sharing my screen here. Sorry about that. What are assets? They're the things of value that you had in your organization on the date the picture was taken. Okay. So on June 30, 2025, we had some money in the bank. We had a checking account. We had a savings account. These are assets. These are things of value that we have. We have some receivables. We have some prepaid insurance. We have furniture and equipment. That's something we have. Here's the deposit that we had when we rented our office space. It's ours. As long as you don't trash our office, we get it back when we leave. So it's an asset. So these are all the assets. We have 129,000. The bottom half, which again equals the top half, is made up of two parts. It's made up of liabilities and equity. Now, liabilities, that's what you owed. On the same date, the picture was taken. You see how valuable this is? The balance sheet says, this is everything I have. And this is everything I owe. I owe some payables. I owe some payroll liabilities. I have a bank loan I owe. Total amount of money I owe is 46,000. So assets, as of June 30, I had 129,000 liabilities. I had 46,000. That leaves equity. Now, equity is the one that freaks everybody out. They don't understand what equity is. Real easy. Equity is the difference between what you have and what you owe. Okay. I had 129,000 of assets. I have 46,000 of liabilities. The difference between the 129 minus the 46 equity. That's what's left over. Think about it. It's the difference between what you have and what you owe. Hopefully it's a positive number. Hopefully you have more than you owe. If you ever go to a bank for a bank loan, they're going to be like, okay, I want to make sure that you have more than you owe. But anyway, this is also, this equity is called net worth. Because it's like, okay, well, what am I worth? It's another way of saying what you're worth. I don't mean to cast expersions on your value as a human being, but on paper, that's what you're worth. $83,000. Another way of thinking about equity is what's left over. Okay. Think about it. If you went out of business on June 29th, you have cash and fixed assets and stuff, they worth 129,000. You can't keep them all. They're not all left over because you've got to pay off 46,000 bills, whatever's left over, 83,000. That's yours that you can, I guess, donate to another nonprofit. It's kind of what's left over. So that's the balance sheet. It's very important that the board gets this balance sheet. Now point it out again in a minute, but this is going to tell them how much cash they have, which is really important. And it's going to tell them their net worth. Okay? Yes, James. All right. So then the other report, you tell me, what's the other report that accounting is all about? One is the balance sheet. What's the other report? Put it in the chat. Yep. It's the PNL. And what's another name for PNL? What's another name for a PNL? Some people call it an income statement. Some people call it, if you're a nonprofit, you're supposed to be calling it a statement of activity. All right? So I want you to know that all accounting is is creating these two reports, a balance sheet and a profit and loss. And I'll say it again in a minute, but the board should get both the balance sheet and the profit and loss. And the profit and loss could be, should be compared to a budget. Now what's the profit and loss? Well, I will tell you this. If the balance sheet is like a snapshot click, the PNL is more like a movie of transactions, money coming in and out of the organization over a period of time. That's why if you look, the PNL is from a certain date to a certain date. Whereas at least in the desktop version, the balance sheet just has as a, it's a point in time, a frozen point in time. This is a movie. So it's kind of like, if the balance sheet tells us what we look like now, the PNL tells us how we got there over a period of time. Okay. And you can control what the period of time is. So I'm going to make this this fiscal year. And so now I've got a PNL for the whole fiscal year. There's money going in, 264,000. That's income or revenue. There's money going out. That's expenses, 254, the very bottom net income, 98, 69. Now I want you to notice something. So what this tells us is this tells us during the year into June 30, 25, this nonprofit ends on June 30. During the year into June 30, 25, we basically earned $9,800 more than we expended. Okay. That has nothing to do with how much money is in the bank. What this tells us is what changed, but it doesn't have the beginning balance. Okay. If you want to know how much money is in the bank, you have to go over to the balance sheet to see how much money is in the bank. So the PNL tells us, well, the balance sheet tells us what we look like now. The PNL gives the story of how we got there over a period of time. Okay. So, and honestly, I want you to notice something else. I'm going to push a little bit more here because I really want you to understand these two statements and how they relate to one another. This is a little tough. So listen very carefully. Remember how I told you that equity is really what's left over. It's your assets minus your liabilities. It's what the difference is. It's what's left over after you pay all your bills off if you're going to. The PNL, the bottom of it, it's the income less expenses for whatever time period we're talking about. Isn't that kind of what's left over too? Okay. It is. And that's what I said the equity is. And if you notice one of the lines in equity is the net income from the PNL. Okay. And another way of saying it is the PNL is kind of a blown up version of what makes up net income. Okay. Net income is 98.69 for the current year and it's blown up into all of these details. All right. Now, honestly, if you add it up, all of equity, 83,000 and you looked at PNL from the beginning of time, it would equal the 83,000 if you're doing your accounting right. Okay. The PNL is basically the total of all, if you add all the PNLs together, the equity is the total of all the PNLs from the beginning of time. Okay. So I'm going to push a little further here and I'm going to tell you is all accounting is, is to enter transactions so they end up on these two reports. And all that happens is you enter a transaction, say you're writing a check, we'll go to write checks. If you're in the online edition, you might just get it from the bank feed, but you're entering or adding a transaction. That transaction hits at least two accounts in the chart of accounts, not one, but two. And then from there, the lines in the chart go on to the financial statements. That's, I thought that's accounting. That's all accounting is. So I'm going to open up the chart of accounts just so that you can understand all accounting is you enter a transaction. Every transaction hits at least two accounts. One of these is the bank account right here checking the other one is whatever expense account you want to put here. We'll say it's office supplies. So there's one account right here and one account right here. Every transaction hits at least two accounts. When I go to the chart of accounts, you'll see here's the checking account. And if I go down to where the expenses are, you'll see here's office supply. So see every transaction hits at least two accounts in the chart of accounts. And then from there, the lines on this chart, they make up the financial statements. All right. So I'll show you if you look at your the chart of accounts listing and you compare it to your balance sheet, you're going to see checking savings grant receivable, checking savings grant receivable. The chart of accounts, the chart of accounts is what informs what's on the balance sheet. And I'll talk about the types if I have a chance a little bit later on, but basically all of the types that are equity and above appear on the balance sheet and all of the types below equity, they appear on the P&L. So if I go down here, we have individual contributions, corporate foundation grants, we've got individual contributions, corporate foundation grants, you see. So when you start using an accounting software package, the whole point is to create these two reports. And all accounting is is entering transactions, they go through this chart, they go onto the reports. So whatever is on this chart is determined, determines what the reports look like. And the order that things appear on this chart is the order that it appears on your reports. So that is basically the nuts and bolts. But I want to test you. Okay, so I'm going to ask you a couple of questions. So please put the answers in the chat for this. So if I go to banking and I write a check for office supplies, I'm going to go to the balance sheet, what accounts get affected when I write a check for office supplies? Say I wrote it out of the checking account, what are the two accounts that get affected? Checking and office supplies, right? So checking right here, is it going to go up or down when I write a check? Is checking account going to go up or down when I write a check? Put it in the chat, it's going to go down. Office supplies is over here. So office supplies, is it going to go up or is it going to go down? Office supplies will go up. So what's net income going to do at the bottom? Is it going to go up or down after I write that check to office supplies? Is net income, this 98 number, what's it going to do? It's going to go down. And net income appears on the balance sheet right here. So when you write that check, it's going to make the checking account go down and it's going to make equity go down. That way it still balances. Does that make sense to y'all? Does that make sense? I'm going to do one more. This one's going to be harder and then we'll move on, okay? I'm going to go to a bill. So I'm going to enter a bill. So let's say I enter a bill for office supplies, okay? So what accounts get affected when you enter a bill? Somebody said that she was confused and she didn't know how flapping my arms meant balancing. I agree. Flapping my arms means I've been on too much medication. Anyway, yeah, the two accounts that get affected are the account that you put down here, office supplies. And the other account is accounts payable. But there wasn't a place to type accounts payable. It assumed it was accounts payable because you're entering a bill, all right? So have you all ever heard when people call, people talk about single entry accounting versus double entry accounting? When you're doing this, you're only really putting one account in, but it's still double entry accounting. Every transaction hits at least two accounts. It's just that the other account is hidden here, all right? All right. But anyway, so as a matter of fact, for those of you, you probably don't know anything about accounting. So I'm probably, you know what? I'm not even going to tell you because I want to move on. All right. So the whole point of accounting is to create these two reports. Now, the only other thing I need to say, and somebody mentioned this, is when you look at this report, and I'm going to change the date of this, and I'm just going to make it for the month of June, 060124, we'll say, I'm sorry, 06060125. So now it's just the month of June. And so let's see. For the month of June, it says I've lost $14,000, all right? However, the report basis, this is a thing I want to talk about. These reports appear in one of two bases or formats. One is called a cruel base, and this is an accrual base. And the other one is called cash base. And when you look at cash base, you might see a different answer here. So what's the difference between accrual and cash? An accrual based report means that you've included all of your outstanding bills to vendors. In other words, somebody billed you and you hadn't paid them yet, but it's already in the PNL because you entered it on an inner bill screen. You've accrued it, okay? The PNL includes your outstanding bills. Does anybody invoice customers in QuickBooks? Does anybody invoice customers in QuickBooks? Northgroes, Growers does, Donald Connie does, Melanie does. So if you do, on an accrual based statement, if you invoice somebody for, say, membership dues, those say you invoice them in June, it's going to appear on this PNL even though you hadn't gotten the money in yet, okay? If your cash basis, it won't appear until you've received the money, okay? So accrual includes your receivables and payables. Cash does not, okay? So then the obvious question is, well, should I give my board accrual based reports or should I give them cash based reports? I would give them accrual based reports because if I'm on your board, I want to know the expenses for the month that were incurred regardless of whether or not you paid them. Plus, I can look at a balance sheet and see if we have a lot of outstanding payables, okay? It's easy to change. All you do is enter the outstanding bills that you haven't paid yet and then you're off to the races. Then every time you get an expense, you just enter it as a bill and then when it comes time to pay it, you pay it, okay? So, all right, I'm going to go back to my deck because I want to make sure that I haven't forgotten anything. These are just pretty little pictures that will explain to you what I've already explained to you and now I want to move on to what I should give the board each month, okay? Thomas wanted to know how to track the budget against the actual if you're using accrual. Well, you would budget by accrual then or if you budget by cash, you're an accrual based person. You enter your bills but when you do the reports compared to budget, just flip it over to cash. That's all you do, okay? And there's another thing going, the thing about quick books is it's not like you keep your books in cash basis or you keep your books in accrual basis. You keep your books in both. If you enter your bills to vendors to get caught up just your outstanding bills, you can go back and forth at a push of a button, okay? So, you keep your bills, you keep your books in both basis, okay? Unpaid bills show up on the balance sheet somebody asked and accounts payable right there, okay? All right. So, I'm going to go to the online edition now for those of you that have been sitting there for the last 15 minutes going, can you please use the online edition? Do you feel better now that I'm in the online edition? Let me know. We got 603 people in the room by the way. Are you all enjoying yourselves? Because I'm getting ready to hunch it up a notch, okay? All right. So, here we go. So, here we are in the online edition. And by the way, I can get the same reports in the online edition. You just go to reports, reports. This is where the reports are in the online edition and click on standard. And then these are where all the reports are in the online edition. Here's where the balance sheet is and here's where your P&L is. And by the way, depending upon how you set up your QuickBooks, yours might not say balance sheet. It might say statement of financial position, all right? So, I'll go ahead and show you a couple of things while I'm in here for you online people. One thing, when you click on this gear at the top right, you're going to see something that says either switch to business view or switch to accounting view. I'm in the accounting view because we don't like the business view, but I could switch to business view and then it might look like the way that you guys see it if you're using business view. But I don't really like it. I feel like it's just harder to understand where things are. So, I like to go over to the accountant view. So, I'm going to do that. All right? So, that's one thing. So, Linda says that the online is ridiculously expensive and does anybody want to tell her how wrong she is? Yes. If you get it from TechSoup, it's $75 a year or for the advance, it's $160 a year. So, it's very, very cheap. It's actually less expensive than the desktop version now, which is $500 a year and you can't get the newer versions through TechSoup. Anyway, so we'll mention that again at the end. The other thing I wanted to tell you online people is that if you want to change the title of the reports instead of balance sheet, you want a statement of financial position. I'm going to click on this gear here and I'm going to go to account and settings. These are the little preferences and if I click under company type and I change it to a non-profit organization and I click save and I click done. Now, because it's a non-profit organization, when I refresh the screen, I believe it should change the names. I might be wrong. Yeah. See how it changed it now at statement of activity. Anyway, enough of that. The next thing I want to teach you is what the three reports are. Well, three, actually, I think there's only two. The reports that you need to give to your board. Each month, and by the way, you should give your board a report every single month, two reports. Some people are like, well, the board only meets quarterly. That's fine. They should be meeting monthly, but if they meet quarterly, I still want you to send them a balance sheet and a profit and loss compared to budget every single month. Please do that. Anyway, one is the balance sheet. It's also known as the statement of financial position. When you do this, please address your questions in the Q&A and not the chat. Okay. Chats are where you answer me. Anyway, for the balance sheet, I want you to know that when you print it out, do it after you have ensured the numbers are correct on the balance sheet, which means you want to reconcile your bank statements and your credit card statements. You want to make sure that you've reconciled them in QuickBooks. If you don't know how to do that, you definitely need some training. Anyway, that is not going to happen at the beginning of the month. Like today, it's the third. You have not been able to reconcile April yet. You may have not even gotten all of your statements yet. You want to wait until you've gotten everything reconciled before you give the board the report. This is why you want board meetings to happen in the third week of the month or the fourth week of the month. You have time to get the books ready for the financial report. First of all, you want to wait until you've reconciled. The second thing is, create it through the end of the previous month. When you report to the board on the balance sheet or statement of financial position, it needs to be through the end of April because we haven't reconciled May yet. We do have a sample chart of accounts. Eric was wondering. Bill, if you're listening, we could probably make those available to you guys after the webinar is over. Then the other thing I would say is add a comparison to the same date in the prior year because that way you can see as a board member, this is how much money I have now. This is how much money I had at the same point last year. That's a nice way to see how you're doing. It's better than comparing it to how much money you had at the beginning of the year because your money may go up and down throughout the year. What if you get a lot of money during the fall when you're in class but then it goes back down after the conference? You need to be comparing to the same time period. I'll just show you in QuickBooks how to do that. There's actually in QuickBooks online, there's a little thing here that says, let's see, statement of activity comparison. This one right here. I'll click on that one and then it'll give me the prior year. I need to go ahead and make it for a date that I have some information in. Hold on. There we go. Then you click here and you click previous year. I like to do the dollar difference and then I run the report. I have to click it twice. There it is right there. Just for those of you in desktop, you can do it in the desktop as well. Reports, profit and loss, previous year comparison, it's right there. Let's see. That's an important thing to do. Did I do a P&L when I meant to do a balance sheet, guys? Looks like I did. Let me do the balance sheet, reports, and I haven't already memorized. Here it is right here. There we go. Now I can compare. All right. The other thing that you want to do is you're going to want to do a P&L, but that one you're going to want to do compared to a budget. It's also called the statement of activity. There's the actual and there's the budget. I like to do a year to date, a year to the last month. We're in May now, so we would do year to date through April 30. You would compare April 30, 23 to year to date through April 30, 22 is what I would do. Again, make sure all the numbers that you have are correct. You want to create the report through the end of the previous month. We're in May, so you would do it April 30. Then you want to add a comparison to budget. All right. I'm going to go into the online edition. It's important that you enter a budget in order to be able to do that. We have in our three-day training, we show you how to do that. I'm just going to go to where the budgeting is. Here is a budget to actual report that I can run directly out of QuickBooks Online. Somebody wanted to know if you could compute it by month. Somebody put that in the chat here, and absolutely you can. There is July's actual and July's budget, and then the variance in dollar form and a variance in percent form. That's four columns just for July, four columns for August. It's way too many columns. That's not what I would give the board. I'm going to customize this thing, and I'm going to change the grid being account versus total. Then you get a little actual budget and then the variance. This is obviously really important because it compares what you thought you were going to get with what you are going to get. Notice how you could do it on cash basis or a cruel basis. If you budget on cash basis, then when you print this report, make sure that the report is on cash basis as well. You can actually do multiple budgets for the same time period in QuickBooks Online. In QuickBooks Desktop, as you could do one budget that's cash basis and one budget that's cruel, in QuickBooks Desktop, you can only do one budget. You can only do cash or a cruel. Well, there's a special way to get around that, but that's a little bit advanced for this class. But anyway, I just want to show you, you go to reports, budgeting, budget versus actual, and that's what you're sending to your board. Again, the two reports you need are the see here, totally cool. Are the balance sheet or statement of financial position with the prior comparison and the P&L compared to budget. If you give them those two statements, yes, there's always going to be that one board member that wants a bunch of other stuff. They're usually some corporate person who comes in, coming in hot and they have all these demands and, yes, that person's going to be a challenge. There's always that person. Those two reports will get you where you need to go. If you don't have a budgeting feature in QBO, that means that you don't have the type of QuickBooks online that has budgets and you'll need to upgrade. Fortunately, you can get it from TechSoup, but to find out what version you have, if you have QuickBooks online, you click on this gear again, you click on account and settings, and then you go to where it says billing and subscription. You can see that I've got QuickBooks advanced. If you have QuickBooks plus or QuickBooks advanced, then you will be able to, and so many people are asking about this, Aretha, I'm just going to go to TechSoup and show them where they can buy QuickBooks online. I'm going to go ahead and click into it and here is, I'll zoom in on it. Here's QuickBooks plus. It has budgeting. I'm sorry. There it is. QuickBooks plus has budgeting and QuickBooks advanced has budgeting as well. This is $160 a year and this is $75 a year. When you're ready to upgrade to QuickBooks online, when you click on this to purchase it, there's an add to cart and if you check this box, you are purchasing a service that will migrate all of your QuickBooks desktop information up to the online edition and the person who will be doing that, either her staff is Paige. She's in the background right now. She does all these migrations for TechSoup and she's up to, she's done over a thousand. She knows what's going on here. So anyway, so that's the deal with that. I'm going to do a couple more things and then we're going to open it up for questions and let's go back here. A lot of what we've talked about today so far is just accounting, but I really wanted to get detailed into non-profit accounting. So when it comes to nonprofits, there are three things to track when you're entering transactions and this is, I think, probably the biggest problem people don't know about this, particularly if they're coming from bookkeeping that's not in the nonprofit world to bookkeeping that is in the nonprofit world. So there are three things that when you need to track when you're entering a transaction. Now the first thing is what I call the natural category. In other words, what is the, let's say it's an expense, what expense account is it? And your chart of account should be your natural category. Some people call it the object of the expense. It's just the natural way of thinking about expenses. Some examples are salaries, rent, hostage. You guys put in the chat, what are some other natural expense account categories that you have? Put it in the chat. What are some natural categories? Travel, utilities, building maintenance, transportation, insurance, travel, office supplies, training, vehicles, ground. Okay, Thomas. Thomas had an expense account that he called programming. Thomas, front of the class, or maybe it was Adrian. Adrian programs. It was Adrian. Somebody else said it too. Adrian and Thomas. Adrian and Thomas. This is what I need you to understand. If you have an expense account called programs, that's bad because when I look at your PNL, when I look at your PNL report, I'm going to see a line here called program expense. And I don't know what that is. Those should not be your accounts. Your account should be what it is. Is it travel for the program? Is it salaries for the program? Is it rent for the program? Is it postage for the program? So your chart of accounts list does should not say program. It should not say admin. It should not say operations and you should not have an account called fundraising. Period. So what you want instead for those things, and it is important that you know whether your expenses are programming in nature or fundraising or admin. Those are kind of the three buckets that you also have to point your expenses to. So the second thing you need to track is what program it goes to, what function it is. Okay. And we're going to use the class feature for that. So what I mean by that is that nonprofits have to, in addition to categorizing by the type of account, they also got to say whether it was in one of three buckets, the program bucket, the fundraising bracket, or the admin bucket. The point is that when funders look at you, they want to know that most of the money that you spend goes to helping the children. Okay. And most of your expenses usually will be program related, but some of your expenses, like your quick book subscription is an admin cost. It doesn't directly help the kids. All right. And so that goes to your admin bucket. And then if you take people out to eat for lunch, donors, or maybe you have of a subscription for neon or little green light or something like that, which is a CRM, that goes into the fundraising bucket. So the expense account would be subscriptions, and the class would be fundraising. You see, so those are two things you have to track. And Tamra, I'm telling you right now what the benefit of it is. So program A, program B, admin, fundraising. The benefit of it is when I look at a PNL, here's a PNL, but I can look at it by class. So let me look at it by class. And now it's such a beautiful thing. So now I can see it's like a spreadsheet. And I can see that I spent on the guidance center 119,000 on the synergy conference 48,000 on the aware campaign 10,000. When you're writing grants for programs, they need to know how much it costs per program. You also get to find out what your total is total programs 178, admin 55, fundraising 20. All right. So I can see what percent of my expenses go for program. And funders usually want 75% of your expenses to be program related. And if you don't believe me that this is not important, if you're thinking this isn't really important, you have to report it that way on the PDF of your 990. You have to report it on a 990 that way. Here's your 990. This is the information return that you'll have to fill out unless you're a house of worship. But here's the expenses. The rows are going to be the natural categories, okay? Advertising, office. They call occupancy rent. Here's travel. Here's salaries. But the columns, one column for program, one column for management general, that's admin, one column for fundraising. So this is probably the biggest thing that I can teach you. If you are going to be doing accounting for a nonprofit, you must have not only the, you must tell every transaction in or not only what the account is, the natural category, travel, supplies, rent, but also whether it was a program, admin or fundraising expense. All right. So it's very, very important. Robin is telling us in the chat. It's very, very important. But there is a third thing that you also need to track. Now, not everybody needs to do the third thing, but it has to do with grants. Does anybody get grants? Anybody get grants? Of course you do. Is there anybody that needs to track how those grant dollars were spent? Somebody said they were 100% grant based, okay? So there is a place to track that as well. So this is a third thing that you need to track when you're entering transactions. You need to enter what grant paid for it, the United Foundation Grant 2425, the City Council Contract 24, the ABC Corporation Grant. So those are three things that you need to track. So I'm telling you right now, every time you enter a transaction into your accounting software package, you need to track three things. You need to track the natural category, which you can do in QuickBooks using the account, the expense account. You need to track the program, and you use the class feature for that, and you need to track what grant paid for it, and you're supposed to use the customer job feature for that. So this is vitally, vitally important. So this is probably the most important slide in the whole deck. And Linda had just, I had a two hour webinar on tracking restricted grants that I taught last week. Linda is telling everybody to sign up for it if I do it again live. Well, I can do you one better than that. If you go to my website and you go to webinars, you can actually purchase it. There's the one that I did for the desktop users. Here's the one that I did for the online users, and it teaches you exactly how to track QuickBooks, track budgets, sorry, track grants in QuickBooks. Okay, there's a PowerPoint, but you really need to record, you'll get a PowerPoint as well, but you really need to watch the recording. I think the power, that's an interesting question. Bill, I wonder if we email or attach the PowerPoint when they sign up for the on demand. That's interesting. Anyway, so before I turn it over for questions, I wanted to say to you that if you are new to QuickBooks, or you've been using QuickBooks for a while, and you just really want to get some training in it, we have our three day webinar series coming up. It's coming up this month, and it's two and a half hours a day. Don't worry, we take two breaks each day, and we'll play music, and we'll enjoy ourselves, and we'll learn QuickityBooks. It's actually much better than a whole one day class, because you can just think about what you've learned for a couple of hours. You can think about it all night long, and then the next day you pick up where you left off. It gives you time for information to absorb, you can play it around with your software. But anyway, it's happening in the 23rd, the 24th, and the 25th. For those of you using desktop, if you're using online, it's happening the 30th, the 1st, and the 2nd. I'll just click on this, and you can click on it and see what all of the topics are. Let me just get this thing to open up here. But it's basically everything that you could ever imagine about QuickityBooks. I don't know why it's taking so long. There it is. All right, cool. This is everything we're covering day one. This is everything we're covering on day two. This is everything we're covering on day three. Look at this, credit cards, pledges, restricted grants. This isn't as detailed as that restricted grants webinar. Special fundraising events, getting thank you letters, donor year and acknowledgments, in kind contributions. This is all advanced stuff on day three. Day two is everything you can imagine about your nuts and bolts transactions, entering grants, entering donations, pointing expenses to programs in addition to expense accounts. Then day one is all about setup. It's all about setup. Again, the online one is happening May 30, the first and the second, and the desktop one is happening the week before. All right, so we'll go back over here so you can see. May has 31 days, so it's May 30th, May 31st, and June 1st. I don't think so. No, it does. It absolutely does not. I have a nursery rhyme that I can teach you. Well, let's do that after the webinar is over. Jennifer was correcting me and now she tells you the rest. Jennifer's like, dude, my birthday is May the 31st. All right, cool. All right, so anyway, and the thing that I want to give you a discount on coming to this thing, it's $2.99 for the three days normally. There it is, $2.99 right here, $2.99. But we're going to give you a coupon for $40 off and the coupon is T-Soup 40, T-Soup 40, so it check out. You put that in and instead of $2.99, it's going to be $2.59. All right. That's so embarrassing. I thought there were 30 days. Maybe I'm wrong. All right. Anyway, enough of that. And there's also some discounts here, but on our tech support and on demand training, you can actually just sign up with tech support for us. And then the last thing I'll say is if you are using QuickBooks Online or QuickBooks Desktop, but if you're using QuickBooks Desktop and you want to move to QuickBooks Online, again, you can do that through the TechSoup. And if you're paying a monthly fee for QuickBooks Online, you definitely need to sign up through TechSoup. All right. So we've still got 570 people on the call and I am ready with questions. So I'm going to ask either page or question. I don't know. Looks like there's been, wow, 90 questions answered. But page or question, do you want to like, is there something that you want to read to me live that you think everybody wants to know about so that I can tell everybody in the group? Hi, this is Paige. I definitely recommend for a lot of our questions that we're seeing that are on the more advanced topics, I am absolutely going to recommend that three-day webinar series for you guys because it's one of the most comprehensive training days out there. And of course, you already know you'll have a good time. So that's what I have. Okay. Question, is there anything in particular that you noticed when you were answering questions that you wanted to say? Just a lot of questions about if the slides are going to be available. Oh, okay. Yeah, the slides are available and so is the recording. Okay. So both of these are available. Okay, so we've only got like four minutes left. Is there anything else anybody wants to ask? If you have some burning question, do you have trainings that we can to become certified QuickBooks experts? So QuickBooks has their own certification program that I would advise you to take a look at. But if you're looking for non-profit training, we're the only way to go. Lionel Rodriguez had a good comment and we cover this in the Tracking Restricted Grants thing about allocating salaries to different grants is probably the most difficult and challenging portion of the whole thing. The webinar does go through setup, Laura. We also have a service on our website that will help you set up your books if you need to in QuickBooks. If you go to our QuickBooks website here, QuickBooks Made Easy and you click on non-profit services, you will see one that's called a file setup that we can do for you. All right. We don't have a manual training that you can read, but we do have online training on demand. This bundle is 16 hours long and it goes through every single thing you could ever imagine about learning QuickBooks. It's even more full than our three-day training. It's normally $3.99 and we have a coupon in here for you as well. For this bundle, it's only TS 298 and then you get $100 off. All right. I'm going to turn it back over to TechSoup because they have a couple of things that they want to talk about if I'm not mistaken. Alison, are you on with us? Can you hear me? Yes, we can. I just wanted to mention I popped into the chat itself. Thank you so much, Greg and Bill and Effort Page. Everyone who came to this webinar, I learned a lot. I'm having so much fun. I just popped in the chat a upcoming promotion that we're also doing a partnership with QuickBooks Made Easy and that will run on 15th through the 29th and will be accounted on admin fees for a couple of products both for the QuickBooks Data Migration and with a couple of their training products that QuickBooks Made Easy offers through TechSoup. I wanted to highlight that and get us all excited for that as well coming in mid-May through the end of the month. One of our training products is offered on TechSoup and right now it's offered as a standalone. Then this migration thing, when you go to QuickBooks Online or convert from a non-TechSoup to a TechSoup online, is a standalone but we're going to be offering it as a bundle. I appreciate that, Alison. Thank you for sharing that. I'm really glad to have this and I'm really glad to have you guys on the bar to support this as well. I think it's great for organizations who are uncertain about moving from desktop to the online product and really wanting to expert guidance both for themselves as well as just some help from Page as well. Yeah. Pastor Camelia wanted to know, how do you purchase the second year through TechSoup of QuickBooks Online? How does that work by the way? If you have a TechSoup online, does it just automatically renew and y'all take your fee or how does that work? Yeah, for the renewal through TechSoup, there's a subscription so we'll probably get it better at putting in a bit of a support article around this, but you'll see I think 30 days before your renewal date, you'll see that pop up in your account section of the TechSoup.org site and then you can essentially pay, but you'll get, you'll provide your payment information and you'll be charged on your renewal date. Okay. One thing I wanted to point out to somebody wanted to know if I did sign up for TechSupport, so if you go to QuickBooks Made Easy and you click TechSupport, you can sign up for a TechSupport agreement for a year. You can type desktop or online and we're going to give you $200 off of that. I'll show you that coupon in a second and what does it cover? Any question that you have related to QuickBooks, no matter how difficult or easy, we can answer it. It's either going to be myself, Barbara, Paige, or question. All right, that will be answering the questions. We can do it online. We can do it over the phone. We can also create meetings, send you a link and you can set up an appointment and we can remote into your data file and have a meeting with you and it's really unlimited to be completely honest with you. So yes, I do audits as well. The accounting firm does audits. But anyway, all right. So who wants to finish up here? Because I'm sure, yeah, we're right. We're one minute over, although we still have 450 people on the call. It's exciting. It's been great. We got to do this again in the year at least. Yeah, I agree. I agree. So thank you, everybody. You're beginning recording within 48 hours, probably tomorrow with the slides and I'll make sure you join the next webinar that Greg is going to be doing on May 18th. So just go to TechSoup and look at the webinar list and we'll see you then. Have a great day, everybody. Bye-bye. Bye.