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True fund accounting.
Built for nonprofits.

Most accounting software uses "classes" or "tags" to simulate fund accounting. That breaks when you need real restricted fund tracking, proper financial statements, or Form 990 reporting. Alignmint is built from the ground up for nonprofit fund accounting with a pre-built chart of accounts that maps directly to Form 990 line items. Browse the chart of accounts guide and restricted funds overview, and balance sheet reporting for setup detail. For a full evaluation guide, read our nonprofit accounting software comparison and fund accounting guide for nonprofit leaders.

Quick Answer: Fund Accounting Software

Fund accounting software tracks restricted and unrestricted dollars separately, maps accounts to Form 990 lines, and produces board-ready statements—without QuickBooks classes or manual spreadsheet workarounds.

Financial planning and fund accounting

Quick Answer: Fund Accounting Software for Nonprofits

Fund accounting software for nonprofits should show which money is restricted, which money is available, and how every gift, grant, bill, reimbursement, and deposit affects your reports. Generic bookkeeping tools can record transactions, but nonprofit fund accounting keeps donor purpose, Form 990 reporting, and board-ready statements connected.

For Small Nonprofits

Start with clean funds, deposits, bills, and reports before spreadsheet habits turn into year-end cleanup.

For Grant-Funded Teams

Track restricted gifts and grants by purpose so spending, balances, and funder reports stay clear.

For Growing Charities

Connect donations, accounting, reimbursements, and reports so staff and board members trust the same numbers.

What Real Fund Accounting Looks Like

Every feature designed for how nonprofits actually work, not retrofitted from small business software.

Restricted Fund Tracking

Track restricted, temporarily restricted, and unrestricted funds with real-time balances. See exactly how much is available in each fund at any moment with as many funds as you need.

Chart of Accounts

Your accounts are already set up and mapped to Form 990, so you can start tracking right away. Add custom accounts as needed. Every account is categorized for proper nonprofit financial reporting.

General Ledger

Complete transaction history with running balances. Filter by fund, account, date range, or transaction type. Drill down into any entry. Export to CSV or Excel.

Journal Entries

Create manual or automatic journal entries with Draft, Posted, and Voided statuses. Full audit trail for every change. Memorized transactions for recurring entries with auto-posting schedules.

Financial Reports

Generate Balance Sheet, Cash Flow Statement, Income Statement, Income Statement by Fund, and Comparative Reports. Export to PDF or Excel. All reports meet nonprofit accounting standards.

Form 990 Builder

Auto-generate Form 990 worksheets from your chart of accounts. Pre-mapped line items mean less manual work at year-end. Export worksheets for your CPA or file directly.

More Accounting Tools

Expenses Manager: Submit, track, and approve expense requests with receipt attachments and fund/account assignment
Reimbursements: Process reimbursement requests with approval workflows and payment tracking
Deposits: Regular deposits and check scanning. Snap a photo and we read the details automatically
Bank Reconciliation: Match bank transactions automatically, identify discrepancies, and reconcile accounts
Bills Manager: Track vendor bills from receipt through payment. Status tracking from draft to paid, with automatic bookkeeping entries - pairs with vendor profiles and 1099 data
Pledges Manager: Track donor pledges and promises to give. See overdue pledges at a glance and record partial payments
Grants Receivable: Track grant awards, drawdowns, and reporting requirements. For organizations managing multiple entities, see our guide to multi-entity nonprofit accounting
Sponsor Fee Allocation: Automatic monthly admin fee calculation based on revenue percentage for fiscal sponsors

Best For Nonprofits Outgrowing Generic Accounting

Use true fund accounting when classes, tags, and spreadsheets no longer give your board or CPA enough confidence.

Restricted Funds

Track donor restrictions, program funds, grants, campaigns, and board-designated funds with balances that stay visible all year.

Form 990 Prep

Use a nonprofit chart of accounts mapped to Form 990 lines so year-end reporting does not become a manual translation project.

Connected Revenue

Donations, pledges, events, grants, volunteer in-kind value, and fiscal sponsor fees flow into accounting without import cleanup.

For buyer research, compare the broader nonprofit accounting software guide, the best nonprofit accounting software guide, our free accounting software for nonprofits guide, and our nonprofit chart of accounts template.

Why Not QuickBooks or Xero?

Generic accounting software wasn't designed for nonprofits. Here's what breaks.

CapabilityQuickBooks / XeroAlignmint
Fund Tracking"Classes" or "Tags" (workaround) Native restricted fund tracking
Form 990Manual mapping required Pre-built chart of accounts, already mapped
Fund BalancesNot supported natively As many fund balances as you need
Donor IntegrationRequires third-party CRM Built-in donor CRM
Nonprofit Accounting StandardsManual configuration Built-in, audit-ready statements

Church accounting comparisons

Comparing church platforms? See how Alignmint handles Planning Center accounting gaps and Realm accounting software for churches that need donor records, contribution tracking, and fund accounting in one place.

Fund Accounting Software Comparison

How does Alignmint compare to other options for nonprofit fund accounting?

FeatureAlignmintQuickBooks ("Classes")Aplos
True Fund Accounting— (class workaround)
Restricted Fund Tracking— (manual tagging)
Sub-Funds✓ (unlimited)Limited
Form 990 Prep✓ (pre-mapped)— (manual mapping)
Free Tier✓ (under $100K)— (trial only)
Donor CRM Built-inBasic

Comparison data as of May 2026. Features and pricing may change.

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AI-Powered Accounting
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