WHY IS A SUPERIOR CHART OF ACCOUNTS SO IMPORTANT?
- Understandable Financial Statements – Even for people that are not familiar with them! If the board cannot understand the statements, they are not worth anything.
- Easy to Read Financial Statements – Know where the money is going
- Have a Clear Picture of the Health of the Organization
- Accurate and Useful Reporting – The foundation for the record keeping system
- Make Better Business Decisions – Works as the road map
- Makes it Easier to Follow Correct Accounting Standards
- Track Income and Expenses Easily
- Designed Specifically for the Church
- Structure of Accounts based on:
- Departments
- Funds
- Areas of Ministry
- Numbering System based on Correct Accounting Standards
- Use of Correct Account Types
- Chart of Accounts based on Budget Needs
- Concise Accounts
- Sufficient Detail but Not Overly Detailed to make it Cumbersome
