Jenny Ryan, Guest Author
Billions of dollars are contributed every year by individuals to qualified organizations in the United States. As a result, many of the organizations we work with receive charitable contributions from the general public. However, too often, many organizations do not understand what is required of them when they receive charitable contributions.
Deciding when to recognize a donor’s promise to give as contribution revenue isn’t as easy as one may think. Understanding the different types of promises and general revenue recognition rules for each will help ensure your organization is recording promises to give correctly.