When choosing nonprofit accounting software, consider whether you can afford it, whether it includes the features you’ll need to perform essential nonprofit accounting actions, and whether you can upgrade to features more advanced as you grow.
First, find out which considered software offers a free trial or a version that you can use to try out the software before buying it. Also look for those offering non-profit discounts. Finally, check out the prices for each plan. Determine if your organization can afford one of these. Limit your list of software to those you can afford.
Next, make a list of the features your organization needs to properly track, report, and manage its funds and taxes. These features can include the ability to track and allocate earmarked funds, process payroll, and generate reports to help you complete your Form 990. Now reference your list of considered vendors and the plans you can allow you. Find the provider and plan that best matches the list of features your organization needs.
Once you have decided on an affordable software and respective plan that includes the accounting functions and features that your nonprofit organization needs, evaluate its more advanced plans. Determine if you’re likely to be able to afford them and if they include the necessary features your nonprofit needs as it grows.