Category

Grant Management

Could Your Data Be at Risk?

By | Abila, Accounting, Audit, CPA, Data, Grant Management, HR, MIP Fund Accounting, Nonprofit | No Comments

Could your nonprofit associations’ data be at risk? Even with good security, you may still find yourself in the unpleasant position of ransoming your data from an unscrupulous hacker.

New viruses such as the notorious “FBI” virus do not hijack your computer for their own nefarious purposes. Some viruses lock your computer down so that you cannot access any of its information. Instead, once you pay a fee – like a random in a kidnapping – the hijackers ‘release’ your computer.

If you think this can’t happen to you, think again. What used to be a threat to major targets such as large corporations or government organization is now a threat to anyone at any time. In fact, smaller nonprofits may be targeted more frequently than larger ones because small organizations do not have the means to fight back when they’re the victim of crime. Criminals such as data hijackers look for easy targets or organizations that do not have the financial resources to fight back. Any organization is at risk.

What Is Data Hijacking?

The best prevention against data hijacking is awareness. It’s important to understand what data hijacking looks like and how to prevent it from occurring.

Data hijacking occurs when a computer program called ‘malware’ enters your system. Malware means malicious software. A specific type of malware called “ransomware” enters your system through an infected email or computer virus. Most often, users inadvertently click an email link or download software containing the malicious program.

Ransomware installs on the end users’ computer and encrypts the data on the target computer so that it can no longer be read. The encryption is so sophisticated that only the operator of the program has the key that unlocks it. Hijackers demand payment for the data ‘key’ that un-encrypts or unlocks the data.

How Ransomware Gets Past Security

There are many ways in which data hijackers bypass your organization’s secure to target your computers. One common way is to clone an executive or CEO’s email address or LinkedIn profile. They then use the fake profile to send an email with a link to people in your company. They often target top executives but anyone can be targeted.

Once the link is clicked, it downloads the ransomware and locks the target computer. A message appears on the computer screen demanding payment to release the computer. Hijackers often request payment in bitcoin, an untraceable digital currency that’s easy to convert into cash.

Even after paying the ransom fee, there’s no guarantee your computer will be released. In some cases, the hijackers themselves are unable to decrypt the computers after payment is made to them. In other cases, the hijackers simply disappear with your money – and your data is lost forever.

Preventing Data Hijacking

The best way to combat data hijacking is through prevention. The following steps should be undertaken to protect against lost data from data hijacking:

1. Be vigilant when screening your emails. Do not click on links within emails unless your are absolutely certain it’s from a known sender. The same goes for attachments which can also harbor viruses and malware.

2. Keep your computer programs updated at all times. Patches and updates protect against various forms of malware, including ransomware.

3. Backup your data frequently. Store it on the cloud as well as in storage devices NOT connected to computers or the internet.

4. Use firewalls to segment company data. This way if part of your network is affected by ransomware, you may not lose all of it if some is protected behind a firewall.

5. Block pop ups and disable macros in key programs, which are often used to distribute malware.

If you suspect that your company’s cybersecurity has been breached and ransomware or malware has been launched, disconnect your computer from the internet as soon as possible. That may prevent the malware from downloading entirely or from infecting others.

Next, contact Welter Consulting. We can help you with both the immediate problem and creating a long-term strategy to protect against viruses, malware, and ransomware.

Welter Consulting

Welter Consulting bridges people and technology together for effective solutions for nonprofit organizations. We offer software and services to help you with your accounting needs. Please contact Welter Consulting at 206-605-3113 for more information.

Blog #4

New Standards Mean Changes to Disclosures and Financial Statements

By | Abila, Accounting, Audit, CPA, FASB, Grant Management, MIP Fund Accounting, Nonprofit | No Comments

In August 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-14. This document, entitled, “Presentation of Financial Statements for Not-for-Profit Entities” changed how information is presented in financial statements. The goal was to make information clear and easily understandable for the average person reading a nonprofit’s financial statements.

Areas that the new standards address include:

* Net asset restrictions: The previous categorization of net asset classifications confused many people, especially the term “unrestricted.” The new net asset restrictions bring the categories down from three to two to provide clarity.

* Liquidity: It was difficult under the old standard for people to see liquidity and compare liquidity amounts among various nonprofits.

* Cash flow: Previously, indirect reporting was required, but reviewers found that indirect reporting methods confused many people.

* Expenses: Not all nonprofits reported expenses the same way.

The Changes: Nothing New to Track, Simpler Reporting

The changes required by FASB for nonprofit accounting do not ask for any new information to be recorded or tracked. Instead, it simplifies the method of reporting and recording, streamlining it so that it is more consistent among nonprofits. This enables donors, members, and the public an easier way to compare nonprofit organizations and understand their finances.

The biggest changes are the net asset classifications, disclosure, and expense designation

1. Net asset classification: As previously stated, net asset classifications are changing from three previous potential classifications to two. The two new categories are net assets with donor restrictions and net assets without donor restrictions. Details about the categories are disclosed in the footnotes. The footnotes are expected to provide detail on the funds themselves and how they are apportioned.

2. Liquidity disclosure: On the liquidity disclosure, the new rules require that qualitative details communicate how the nonprofit manages the liquid resources available to meet its cash flow needs within a one year period. Quantitative information must also be provided about the resources available within one year. Additional information is required on the nature and type of liquid assets and any external limitations placed on them by grantors, donors, local laws, etc. Board limits must also be specified.

3. Expenses: Expenses must now be disclosed by natural and functional categories. The methods used to allocate costs must also be described.

The changes recommended by FASB aren’t a surprise, but are long in coming. The continual push to improve communications around financials for nonprofit entities is a welcome one that adds a layer of transparency to the nonprofit world that donors have been seeking.

If you’d like assistance meeting the new FASB requirements, speak with Welter Consulting today. We offer software and services that can help you with your accounting needs. Please contact Welter Consulting at 206-605-3113 for more information.

Seattle – Abila MIP Fund Accounting 2 Day Classroom Training – General Ledger Core Modules: $1,100pp ($880pp if on Support Plan)

By | Abila, Grant Management, MIP Fund Accounting, Nonprofit, Training | No Comments

Three options available!

February 22, 2016 @ 8:30 am – February 23, 2016 @ 4:00 pm  Register Here

May 23, 2016 @ 8:30 am – May 24, 2016 @ 4:00 pm  Register Here

September 19, 2016 @ 8:30 am – September 20, 2016 @ 4:00 pm  Register Here

 

Those attending this class will gain an understanding of:

• Transaction entry screens and the purpose of each form throughout the core modules (GL, A/P, A/R Reporting, EFT for A/P module,    Import/Export, Forms Designer, Bank Reconciliation)
• Overview of the report writer (set-up, review and reconciliation)
• Bank reconciliation, month-end reports and closing process
• Best practices for memorizing documents, recurring entries, entry defaults, batch processing, reclassifying posted documents, etc
• Overview of the admin module and most commonly used features (user set-up, electronic attachments and back up)
• Review set-up vendors, customers, chart of accounts and distribution codes

Class held from 8:30 to 4:00 daily 
Free parking (check in at front desk upon arrival)
Breakfast, snacks & beverages served all day (lunch on your own – a list of restaurants and directions will be provided or you can bring your lunch)
Individual workstation and class materials are provided for each student
Complimentary WiFi
Bring examples of reports or specific issues you have, to discuss/resolve in class
6 hours of CPE for each day and completion certificate provided to each student
Minimum of 4 attendees to hold each class. When minimum attendance is met, you will receive a confirmation email & invoice to remit payment
In the event of cancellation from low attendance, communication will be sent via email, no later than 2 weeks prior to the class date, which will include alternative options
Cancellation policy requires written notice be emailed to vicki@welter-consulting.com two full weeks in advance of the class date for full refund. If cancellation is necessary within 2 weeks of class date, a credit will be issued to your organization for full amount if minimum attendance was met or 50% of registration fee to use against future training by anyone at the organization
Out of town guests should wait to book travel until class is confirmed

Computer Classrooms in Seattle
10604 NE 38th Pl #118
Kirkland, WA 98033

http://www.computerclassroomsinseattle.com/visitors/lodging