Revenues/Deferred Revenue

Originally Posted: April 30, 2023

Author:

Patricia A. O'Malley, CPA

Consultant

Topics:

Size of Organization:

Medium

Establish policies for revenue recognition. Certain types of revenue (including: dues; subscriptions; and meeting registration fees) may be received in advance of the product or service being delivered.
All revenue entries should be reviewed by someone with knowledge of the associated guidance before posting to the general ledger.
- Articles relating to revenue recognition for nonprofits can be found on this website at:
  - Lessons Learned from Adoption of Topic 606, Revenue Recognition
  - FASB Clarifies and Improves Guidance for Not-for-Profit Grant and Contribution Accounting
If there are revenue systems (meeting registration, dues billing, publications management, etc.) that are not integrated with the general ledger reconcile the cumulative system balances with the general ledger each month.