Best accounting software for small nonprofits: what to look for in 2026
Fund tracking, donor restrictions, board reports and the Form 990 or T3010: what a small nonprofit needs from its books, and how Aplos, QuickBooks and others compare.
7 min read · October 18, 2026
We make AcboBooks, one of the products discussed here.
What makes nonprofit books different
A business asks whether it made a profit. A nonprofit has to show that every dollar was used for the purpose it was given for. A grant for the after-school program cannot quietly pay the roof repair, and the board, the funder and the auditor will all want to see that it did not.
That means three things the software must handle: funds (tracking income and spending by grant, program or restricted gift), donor restrictions (net assets with and without restrictions, in US terms under ASC 958), and reports in nonprofit language: a Statement of Activities rather than a profit and loss, a Statement of Financial Position rather than a balance sheet.
What you file each year
The software does not file these for you, but it has to produce the figures cleanly.
| Country | Return | Who files it |
|---|---|---|
| US | Form 990-N (e-Postcard) | Gross receipts normally $50,000 or less |
| US | Form 990-EZ | Gross receipts under $200,000 and total assets under $500,000 |
| US | Form 990 | Gross receipts of $200,000 or more, or total assets of $500,000 or more |
| Canada | T3010 Registered Charity Information Return | Every registered charity, within six months of its fiscal year-end |
Thresholds are the IRS's, as published in October 2026. In Canada, a charity that fails to file its T3010 can have its registration revoked, so the year-end books matter even for a very small group.
What to look for
- Fund or class tracking on every income and expense line, with reports split by fund.
- Restricted funds marked so the Statement of Activities shows net assets with and without donor restrictions.
- Budgets by fund or grant, compared with actuals each month for the board and for grant reports.
- Donor records and receipts: gift history, year-end tax receipts in the US, official donation receipts for Canadian charities. Often a separate donor CRM.
- Functional expenses (program, management and general, fundraising), which the full Form 990 asks for.
- Several people, safely: a treasurer, a bookkeeper and a view-only board member, with an audit trail and a closing date so last year stays closed.
- Cost that fits the budget, year after year, as treasurers change.
The main options
- Aplos is built for nonprofits and churches: true fund accounting, nonprofit reports and donor management in one cloud subscription. It is the most complete fit for many small organisations. Published prices differ between sources, so check Aplos's own site.
- QuickBooks Online has no separate nonprofit edition, but many nonprofits run it on Plus or Advanced with classes for funds and a nonprofit chart of accounts. Eligible US 501(c)(3)s can get a discounted subscription through TechSoup for a yearly admin fee. Fund accounting is a setup, not a built-in feature.
- QuickBooks Desktop Enterprise has a nonprofit edition, by annual quote, for larger organisations.
- Xero and Zoho Books can tag transactions by fund with Xero's tracking categories or Zoho's reporting tags, and suit very small groups, but their reports use business language, and as of October 2026 neither offers a standard donor-restriction report.
- Donor CRMs such as Bloomerang, DonorPerfect or Little Green Light manage donors and receipts and feed totals to the books. Most nonprofits beyond the smallest use one alongside their accounting.
Where AcboBooks fits
AcboBooks is a Windows desktop program for small nonprofits, churches, associations and charities in the US and Canada, bought once for $399.99, with the same price for everyone.
- Each fund, program or grant is a class; mark the donor-restricted ones.
- A Statement of Activities by fund (ASC 958) that separates net assets without and with donor restrictions, plus P&L by class, balance sheet and cash flow.
- Budgets by account and fund against actuals, exported to Excel with live formulas.
- Deposits and undeposited funds, revenue deferred and recognised over months, payroll for staff and petty cash.
- Users with roles on the office network, view-only users for the board, a closing date and an audit trail.
What it does not do: there is no donor management or receipting, so keep donors in a CRM or spreadsheet and issue receipts from there; no pledge tracking beyond entering pledges as invoices; no statement of functional expenses report; and it does not prepare the Form 990 or T3010, it gives your accountant the figures. It runs on Windows only, with no phone app. If you want donor management and fund accounting in one place, Aplos is the more natural fit. If you want the books on your own PC without a yearly fee, see the nonprofit page, the comparison pages (including QuickBooks Online), and pricing, then set up your funds in the 15-day trial and run a Statement of Activities.
QuickBooks® is a registered trademark of Intuit Inc. Other product names are trademarks of their respective owners. AcboBooks is not affiliated with, endorsed by, or sponsored by any of the companies named.
Fund reporting without the subscription
Funds as classes, donor-restricted funds marked, a Statement of Activities by fund and budgets the board can follow, for $399.99 once.
This article is general information, not tax, legal or accounting advice. Rules and dates change; check the official source or ask your accountant before acting.
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