Finances

As a non-profit (a public educational charity under section 501(c)(3) of the IRS tax code), we are required to file each year a tax return called a form 990.  Our returns are created by our accountant, Fristoe & Co., PA (Public Accountant), here is Las Cruces.  The filing is due by 15 November every year.  Each return covers the activities of the prior fiscal year, which, for us, is from 1 July through 30 June.

Our 990 for 1 July 2015 through 30 June 2016 is linked here.  The 990 for 2016-17 is in preparation at Fristoe & Co.; they have the QuickBooks company file and the records of financial transactions and tax compliance.

We also get a financial statement, which is shorter and easier to read.  Our 2015-16 statement is in paper form, which becomes large when scanned; we will obtain an electronic copy and post it here.

Finally, we prepare a budget annually.  The Board will decide soon if the information is sensitive or not, in the latter case being appropriate to post.  For 2017-18, the projected income is $286,819, of which $261,862 is projected to come from tuition.  The projected expenses are $279,895. The overage of $6,924 is nominal.  It will change over the year as actual income and expenses accrue.  Any real overage will help offset past years of deficits, as well as providing a buffer and potential use for improvements.

You may note in the 990 that a large overage of income over expenses is attributed to the 2014-15 fiscal year.  This does not reflect a real financial gain.  It arises from an increase in the number of families paying full-year or full-semester tuition in advance.  Our accounting is on an accrual basis; the 990 is generated on a cash basis, so that a payment in May, 2014 for tuition in the 2015-16 fiscal year / academic year is a financial “bulge” in the 2013-14 fiscal year but our obligations of expenses are in the 2014-15 fiscal year.  In brief, we run at near equality of income and expenses and have done so for the past 4 years.