Foundation:Gentoo Foundation Finances FY2024

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Financial statements of Gentoo Foundation Inc., FY2024

Period 2023/24
Period-Start 2023/07/01
Period-Ending 2024/06/30
Prepared-by robbat2
As-of 2023/02/21 (rev df8445d399ad170d26fcc0ff5137a69bd94a03cc)

Disclaimers: Year-specific

Disclaimers: Common

  • The following statements have NOT been reviewed by a CPA
  • The following statements represent a work-in-progress, with some known concerns:
    • Data capture:
      • In-Kind Donations has minimally started.
      • Donor Restrictions has NOT been started, but is expected to have minimal impact (see further remarks).
    • Incomplete historical capture due to lack of records
      • NetBank records are considered lost and unrecoverable
    • Depreciation: See seperate Concerns section under Further Remarks

Statement of financial position

      USD 157,029.80  Assets
      USD -15,769.11    Accumulated-Depreciation
         USD -109.03      Banners:Purchased_GDS7_201811
      USD -15,660.08      Computers:Infra
       USD -2,380.65        Purchased_GDS5_201710
         USD -900.16        Purchased_GDS5_201803
          USD -26.00        Purchased_GDS5_201804
       USD -1,657.24        Purchased_GDS5_201812
       USD -2,184.56        Purchased_GDS5_201907
         USD -520.76        Purchased_GDS5_201911
       USD -7,837.73        Purchased_GDS5_202203
         USD -152.99        Purchased_GDS5_202206
       USD 97,984.36    Bank
       USD 80,474.63      CapOne
       USD 28,236.95        Check7136
       USD 52,237.68        Saving8438
       USD 17,509.73      CapOneMoneyMarket
       USD 64,874.95    Capital
          USD 155.65      Banners:Purchased_GDS7_201811
       USD 64,719.30      Computers:Infra
        USD 2,413.96        Purchased_GDS5_201710
          USD 968.54        Purchased_GDS5_201803
           USD 27.98        Purchased_GDS5_201804
        USD 1,964.25        Purchased_GDS5_201812
        USD 3,320.00        Purchased_GDS5_201907
          USD 713.37        Purchased_GDS5_201911
       USD 52,251.50        Purchased_GDS5_202203
        USD 3,059.70        Purchased_GDS5_202206
        USD 9,939.60    Paypal
--------------------
      USD 157,029.80

      USD 157,029.79  NetAssets:RetainedEarnings
     USD -153,306.22    Expenses
      USD 310,336.01    Income
--------------------
      USD 157,029.79

Remarks

  • See: [AC-NPO-2]


Statement of Activities










Remarks


  • See: [AC-NPO-2]







TODO: Statement of Functional Expenses


  • See: [AC-NPO-4]
    • 

  • TODO: reformat to columar style with TOTALS



Program: NONE




TODO: Statement of Cash Flows


  • Operating Activities
    • 

  • Investing Activities
    • 

  • Financing Activities


Capital Assets


Statement of Position


              52 pcs  Virtual:Assets:Capital
               2 pcs    Banners
               1 pcs      Purchased_GDS7_200711
               1 pcs      Purchased_GDS7_200801
              50 pcs    Computers
              15 pcs      Dev
               1 pcs        Purchased_GDS5_200506
               1 pcs        Purchased_GDS5_200508
               2 pcs        Purchased_GDS5_200606
               1 pcs        Purchased_GDS5_200607
               1 pcs        Purchased_GDS5_200803
               1 pcs        Purchased_GDS5_200904
               1 pcs        Purchased_GDS5_200910
               1 pcs        Purchased_GDS5_201001
               1 pcs        Purchased_GDS5_201004
               1 pcs        Purchased_GDS5_201012
               1 pcs        Purchased_GDS5_201106
               1 pcs        Purchased_GDS5_201107
               1 pcs        Purchased_GDS5_201205
               1 pcs        Purchased_GDS5_201307
              35 pcs      Infra
               2 pcs        Purchased_GDS5_200705
               1 pcs        Purchased_GDS5_200905
               2 pcs        Purchased_GDS5_201003
               1 pcs        Purchased_GDS5_201107
               1 pcs        Purchased_GDS5_201110
               6 pcs        Purchased_GDS5_201111
               2 pcs        Purchased_GDS5_201112
               3 pcs        Purchased_GDS5_201202
               1 pcs        Purchased_GDS5_201206
               2 pcs        Purchased_GDS5_201411
               1 pcs        Purchased_GDS5_201412
               2 pcs        Purchased_GDS5_201502
               1 pcs        Purchased_GDS5_201606
               2 pcs        Purchased_GDS5_201710
               1 pcs        Purchased_GDS5_201803
               1 pcs        Purchased_GDS5_201804
               1 pcs        Purchased_GDS5_201812
               1 pcs        Purchased_GDS5_201907
               2 pcs        Purchased_GDS5_201911
               2 pcs        Purchased_GDS5_202203
--------------------
              52 pcs



Change of Position




Verification of closed accounts for EOY


  • This section covers any accounts that aren't closed, correctness review (e.g. missing entry in closing transactions)


Unclosed Expenses




Unclosed Income




TODO: Notes to the Financial Statements


  • (TODO FASB 2016-14 requirements)


Further Remarks


Contributions


  • FASB 1993-06 / SFAS 116: "Accounting for Contributions Received and Contributions Made"
    • 

  • FASB 2018-08: "Clarifying the Scope and the Accounting Guidance for Contributions Received and Contributions Made"
    • 

  • FASB ASC 958-605: "Not-for-Profit Entities - Revenue Recognition"

    • This covers how contributions received must be accounted.
      • 

    • The Gentoo Infrastructure team recieves contributions in multiple non-cash forms:

      • Contribution of Assets

        • e.g. Hardware donated outright to the Foundation, and held by the Foundation.
        • 

      • Contribution of Utilities, covered by SFAS-116, example 9, paragraph 190 & 191

        • e.g. Server rackspace (including electricity & network connectivity)
        • 

      • Contribution of Use of Property, covered by SFAS-116, example 10, paragraph 192 & 193.

        • e.g. Use of dedicated servers


Depreciation


  • See https://en.wikipedia.org/wiki/MACRS and [IRS-946] for more info.
    • 

  • All relevant accounts are tagged with MACRS, and matching asset codes.

    • Capital value: Assets:Capital:{asset-code}
      • 

    • Depreciation Contra-asset: Assets:Accumulated-Depreciation:{asset-code}.
      • 

    • Inventory tracking: Virtual:Assets:Capital:{asset-code}
    • 

  • All assets use the mid-quarter convention to avoid splitting the calculation between property that may use half-year convention vs property that must use the mid-quarter convention.
    • 

  • The purchasing year & quarter is derived from the purchase date in the account name.
    • 

  • Some assets are retained long past their depreciation period, as they are still functioning fine.
    • 

  • Risks & Outstanding Issues:

    • There are no Section 179 elections in place for additional depreciation. This differs from the formal IRS filing, where the depreciation is chosen by the accountant for optimal tax handlng.
      • 

    • It is possible that some assets are in the wrong IRS asset class, per [IRS-946] Appendix B where the manner in which property is used can change it's lifecycle.
      • 

    • The exact location of non-US assets may impact the depreciation system. This is NOT considered at this time, as minimal assets are outside of the US.
    • 

  • Example:

    • Assets:Capital:Computers:Infra:Purchased_GDS5_201411:

      • What is it? Computers:Infra tells us it is a computer or parts thereof used by Infra. (Computers:Dev would be used by a Developer)
        • 

      • What is the MACRS system & property class life: GDS5 GDS, with a 5-year class life.
        • 

      • When was it purchased? 201411
        • 

      • What is the depreciation value for this asset? See the Assets:Accumulated-Depreciation:Computers:Infra:Purchased_GDS5_201411 account
        • 

      • Is the asset still in use, or has it been disposed of? See the Virtual:Assets:Capital:Computers:Infra:Purchased_GDS5_201411 account, for quantity greater than zero.


Asset Classes in use


Account                        IRS-Asset-Class     GDS-Class-Life
Assets:Capital:Computers:*     00.12               5
Assets:Capital:Banners:*       00.11               7



FASB 2016-14


  • FASB 2016-14 MUST be applied for all fiscal years starting after 2017/12/15, but the standard permits earlier application.

    • The treasurer has elected to apply the changes to ALL financial statements, as none of them have been formally audited at this time.
    • 

  • Donor Restrictions

    • The earlier boards did NOT include any formal means for donors to restrict cash donations.
      • 

    • Some in-kind donations MAY have usage restrictions (e.g. bandwidth limitations, disclosure limitations), but are not expected to impact the financial statements at this time. This has not yet been confirmed with a CPA that specializes in NPO accounting.
    • 

  • FASB 2016-14 changed the classes of Net Assets:

    • Before:

      • Permanantly restricted Net Assets
        • 

      • Temporarily restricted Net Assets
        • 

      • Unrestricted Net Assets
      • 

    • After:

      • Net Assets with Donor Restrictions
        • 

      • Net Assets without Donor Restrictions







References








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