On August 18, 2016, The Financial Accounting Standards Board (FASB) released the long-awaited Accounting Standards Update No. 2016-14. This update changed the financial reporting model for all not-for-profit organizations. The new standard began taking shape after the FASB formed the Not-for-Profit Advisory Committee (NAC) in 2009. The NAC recognized there was a need for improvement in not-for-profit financial reporting and has made updates that will simplify net asset classifications and improve disclosures regarding financial performance, liquidity, and cash flows.
To assist with the implementation of these changes, we’ve put together this easy one-sheet summary. See below, or click here to download the PDF.