Nevada Restaurant Association is a non-profit organization, which makes the accounting quite different from other organizations. To get the details and more specific information regarding the financial aspect of the organization, I interviewed my supervisor Scott Olson, who is a Director of Accounting and Administration in Nevada Restaurant Association. To cover the main aspects of accounting and finance of the company, I have divided my questions into three groups: reporting procedures, payroll and annual budget. After I talked to Scott, I conducted a brief research on how other 5013c organizations manage their funds.
Reporting procedures
Nevada Restaurant Association has no food costs, but reports include labor cost. Another type of reports are fixed administration costs, which don’t change from month to month, and variable costs, which change depending on the event schedule of the organization. Variable costs often include supplies, which Restaurant Association often purchases for educational programs. Those programs include ProStart, which gives students a platform to discover and develop new interests and talents, while teaching employability skills like teamwork, professional behavior, time management and communication.
All the expenses and profits are coming from the events, which Nevada …show more content…
Usually NvRA chooses “adopting a surplus budget”, which according to a magazine of American Nonprofits Blue Avocado, is used “to increase reserves or pay down debt”. The first draft of budget is usually written by Scott in September of each year. To prepare it he goes back to pevious years and estimates if the budget is going to increase or decrease depending on activity of the company throught the year. After that step, draft is getting approved by Ktherine Jacobi, the Director of NvRA. In November the budget gets presented to the Executive Committee. If everything goes smoothly, the budget gets approved by
Reporting procedures
Nevada Restaurant Association has no food costs, but reports include labor cost. Another type of reports are fixed administration costs, which don’t change from month to month, and variable costs, which change depending on the event schedule of the organization. Variable costs often include supplies, which Restaurant Association often purchases for educational programs. Those programs include ProStart, which gives students a platform to discover and develop new interests and talents, while teaching employability skills like teamwork, professional behavior, time management and communication.
All the expenses and profits are coming from the events, which Nevada …show more content…
Usually NvRA chooses “adopting a surplus budget”, which according to a magazine of American Nonprofits Blue Avocado, is used “to increase reserves or pay down debt”. The first draft of budget is usually written by Scott in September of each year. To prepare it he goes back to pevious years and estimates if the budget is going to increase or decrease depending on activity of the company throught the year. After that step, draft is getting approved by Ktherine Jacobi, the Director of NvRA. In November the budget gets presented to the Executive Committee. If everything goes smoothly, the budget gets approved by