Ticking off the NZ charities checklist
With the introduction of New Reporting Standards, New Zealand charities have a serious need to minimise red tape and produce the reports quickly. So here is how to use Calxa to do just that – it’s the top tool for NZ charity reporting.
It helps to understand how Calxa makes this difference based on its key features such as:
Report Bundles: Calxa provides templated report bundles to give you the basic content you need for your reports.
Account Trees: Some of the reports use Account Trees to summarise and re-arrange the chart of accounts from MYOB to provide the grouping necessary for these reports.
KPIs: The Statement of Service Performance uses the KPI Editor to provide the details. The details of what you’re measuring should be added as Metrics and you’ll then be able to create KPIs from them to add to the report.
Now, let’s get started.
View the Sample Reports
See the PDF versions of the sample reports for Tier 3 and Tier 4.
Creating your Own Report Bundle
The sample reports give you an idea of what you can achieve with Calxa. There are a few steps to set things up for your own organisation.
1.Create a Calxa Workspace
We store your information online to make it easier to share information with an external accountant or any staff or board members working remotely.
2. Create a New Organisation
In the Admin area, add your existing organisation. Depending on which accounting system you are using, the process is slightly different but our Getting Started page explains the options.
3. Add your Budgets
See Step 4 of our Get Started guide for the different ways you can bring in your budgets.
4. Set up the Account Trees
Use Account Trees to group and rearrange your chart of accounts. The report bundles include 2 Account Trees to use in a number of the reports.
Create each new Account Tree using the Fully Unallocated option. Then create the headers for each tree as listed below (NZ NFP Analysis and NZ NFP Reporting) as the source. Drag the appropriate detail accounts from your own chart onto the relevant header accounts.
Tier 3 NZ NFP Analysis
| Section | Account Number | Account Name |
| Assets | 01 | Bank Accounts and Cash |
| Assets | 02 | Debtors and Prepayments |
| Assets | 03 | Inventory |
| Assets | 04 | Other Current Assets |
| Assets | 05 | Investments |
| Assets | 06 | Other Non-Current Assets |
| Liabilities | 01 | Creditors and Accrued Expenses |
| Liabilities | 02 | Employee Costs Payable |
| Liabilities | 03 | Unused Donations and Grants with Conditions |
| Liabilities | 04 | Other Current Liabilities |
| Liabilities | 05 | Loans |
| Liabilities | 06 | Other Non-Current Liabilities |
| Equity | Just allocate all accounts | |
| Income | 01 | Fundraising Revenue |
| Income | 02 | Grants and Donations Revenue |
| Income | 03 | Fees, Subscriptions and other Revenue |
| Income | 04 | Revenue from providing other goods or services |
| Income | 05 | Interest, Dividends and other Investment Income |
| Income | 06 | Other Revenue |
| Expense | 01 | Expenses related to public fundraising |
| Expense | 02 | Volunteer and employee related expenses |
| Expense | 03 | Costs related to providing goods or services |
| Expense | 04 | Grants and donations made |
| Expense | 05 | Other Expenses |
Tier 3 NZ NFP Reporting
| Section | Account Number | Account Name |
| Assets | 01 | Bank Accounts and Cash |
| Assets | 02 | Money held on behalf of others |
| Assets | 03 | Money owed to the entity |
| Assets | 04 | Other Resources |
| Liabilities | 01 | Money Payable by the Entity |
| Liabilities | 02 | Other Commitments |
| Liabilities | 03 | Guarantees |
| Liabilities | 04 | Grants or donations with conditions attached |
| Equity | Just allocate all accounts | |
| Income | 01 | Donations, fundraising and other similar revenue |
| Income | 02 | Fees, subscriptions and other revenue from members |
| Income | 03 | Revenue from providing goods or services |
| Income | 04 | Interest, dividends and other investment revenue |
| Income | 05 | Other revenue |
| Expense | 01 | Expenses related to public fundraising |
| Expense | 02 | Volunteer and employee related costs |
| Expense | 03 | Costs related to providing goods or services |
| Expense | 04 | Grants and donations made |
| Expense | 05 | Other expenses |
Tier 4 NZ NFP Reporting
| Section | Account Number | Account Name |
| Assets | 01 | Receipts from the sale of resources |
| Assets | 02 | Purchase of resources |
| Assets | 03 | Other asset movements (not reportable) |
| Liabilities | 01 | Receipts from borrowings |
| Liabilities | 02 | Repayment of borrowings |
| Liabilities | 03 | Other liability movements (not reportable) |
| Equity | Just allocate all accounts | |
| Income | 01 | Donations, Fundraising and other similar receipts |
| Income | 02 | Fees, Subscriptions and other receipts from members |
| Income | 03 | Receipts from providing goods or services |
| Income | 04 | Interest, Dividends and other Investment receipts |
| Income | 05 | Other operating receipts |
| Expense | 01 | Payments related to public fundraising |
| Expense | 02 | Volunteer and employee related payments |
| Expense | 03 | Payments related to providing goods or services |
| Expense | 04 | Grants and donations paid |
| Expense | 05 | Other operating payments |
5. Create your KPIs
Use KPIs and Metrics to provide the non-financial data in the reports. First set up your own Metrics and then create a KPI for each of them. Sometimes you’ll want to create a formula (for example to calculate the average cost of an activity).
Note: In most cases the KPI can be just the Metric without any other formula.
6. Create the Report Bundle
The key to generating your reports easily is the Report Bundle and you’ll now need to create the bundle for your organisation. On the Report Bundle screen, select Bundle Templates. Select the NZ NFP Reports Tier 3 or Tier 4 bundle and select Create Bundle.
Edit the criteria of the Statement of Performance report to de-select the placeholder KPI and add your own KPIs.
Edit the criteria on each of the following reports and add the appropriate Account Tree:
| Tier 3 | Statement of Financial Performance | NZ NFP Reporting |
| Tier 3 | Statement of Financial Position | NZ NFP Analysis |
| Tier 3 | Statement of Cash Flows | NZ NFP Reporting |
| Tier 3 | Note 1 Analysis of Revenue | NZ NFP Analysis |
| Tier 3 | Note 2 Analysis of Expenses | NZ NFP Analysis |
| Tier 3 | Note 3 Analysis of Assets and Liabilities | NZ NFP Analysis |
| Tier 3 | Note 5 Accumulated Funds | NZ NFP Analysis |
| Tier 4 | Statement of Receipts and Payments | NZ NFP Reporting |
| Tier 4 | Statement of Resources and Commitments | NZ NFP Reporting |
| Tier 4 | Note 2 Analysis of Receipts | NZ NFP Reporting |
| Tier 4 | Note 3 Analysis of Payments | NZ NFP Reporting |
For each of the listed reports, select it and then Edit Criteria, and change the Account Tree to the correct one.
7. Update the Bundle Documents
Many of the pages in your Report Bundle are documents and you’ll need to fill in the information relevant to your organisation. Much of this will remain the same from year to year, making reporting much easier in the future.
Note: Tier 2 NZ Charity Reporting
Whilst Calxa has no template available for Tier 2 NZ charity reporting, you can easily adapt the Tier 3 template by following the steps below.
We suggest starting from the Tier 3 Bundle and then modifying to match Tier 2 requirements. Where Calxa can provide these reports, they can consolidate multiple entities.
* Notes are based on the sample report from BDO New Zealand.
** References to the Tier 3 Bundle are to the Calxa Report Bundle template for Tier 3 reporting.
Section |
Calxa Capability |
| Consolidated statement of comprehensive revenue and expense |
|
| Consolidated statement of changes in net assets/equity | Not available in Calxa. Add a document with a table of this information |
| Consolidated statement of financial position | Tier 3 Statement of Financial Position will provide most of this information but it doesn’t have the budget figures. |
| Consolidated statement of cash flows | The Tier 3 Statement of Cashflows has all except the Budget column |
| Notes to the consolidated financial statements | |
| Note 1 – Reporting entity | Add a document to the bundle for each of these. Some of the Tier 3 bundle documents may be a useful starting point but there is generally more detail required for Tier 2 |
| Note 2 – Basis of preparation | |
| Note 3 – Use of judgements and estimates | |
| Note 4 – Significant accounting policies | |
| Note 5 – Changes in accounting policy | |
| Note 6 – Prior period error | |
| Note 7 – Discontinued operations | |
| Note 8 – Revenue | Tier 3 Note 1 Analysis of Revenue should satisfy this with an appropriate account tree |
| Note 9 – Other Income | Copy the Tier 3 Analysis of Revenue, show just Other Income/Other Expense and use an Account Tree to include the required accounts |
| Note 10 – Other expenses | |
| Note 11 – Expenses by nature | Tier 3 Note 2 Analysis of Expenses should satisfy this with an appropriate account tree |
| Note 12 – Net finance costs | Copy the Tier 3 Analysis of Revenue, show just Other Income/Other Expense and use an Account Tree to include the required accounts |
| Note 13 – Cash and cash equivalents | The Tier 3 Statement of Financial Position contains most of this information but not in this format. As an Account Tree can’t remove Balance Sheet Accounts, run this report, export to Excel, remove excess lines, copy and paste back into bundle document. Then add interest rate changes to the document. |
| Note 14 – Receivables – exchange transactions | These are mostly derivatives of the Balance Sheet report and can be achieved with a similar approach to Note 13 |
| Note 15 – Recoverables – non-exchange transactions | |
| Note 16 – Inventories | |
| Note 17 – Prepayments and other assets | |
| Note 18 – Other investments and derivatives | |
| Note 19 – Property, plant and equipment |
These all require bundle documents of varying levels of detail. The editing tools should allow for most of the formatting and layout required. Once this is prepared for one year, you should only require minor changes the following year.
|
| Note 20 – Intangibles and goodwill | |
| Note 21 – Investment property | |
| Note 22 – Biological assets | |
| Note 23 – Associates | |
| Note 24 – Joint ventures | |
| Note 25 – Concessionary loans issued | |
| Note 26 – Disposal group held for sale | |
| Note 27 – Payables – exchange transactions | |
| Note 28 – Deferred revenue | |
| Note 29 – Employee benefit liabilities | |
| Note 30 – Loans | |
| Note 31 – Finance leases payable | |
| Note 32 – Provisions | |
| Note 33 – Non-exchange liabilities | |
| Note 34 – Capital and reserves | |
| Note 35 – Financial instruments | |
| Note 36 – Group entities | |
| Note 37 – Business combinations | |
| Note 38 – Operating leases | |
| Note 39 – Related party transactions | |
| Note 40 – Commitments and contingencies | |
| Note 41 – Events after reporting date |
We have found BDO to have the some of the best publicly-available sample financial statements, however, other accounting firms may provide some resources if you ask them.
Find out how Calxa can help your NZ charity.