FundSvcs Community

As outlined on page 30 of FASB Statement of Financial Accounting Standards No. 116, the definition of a promise to give is "a written or oral agreement to contribute cash or other assets to another entity.  A promise carries rights and obligations – the recipient of a promise to give has a right to expect the receipt of promised assets in the future, and the maker has a social and moral obligation, and generally a legal obligation, to make a promised transfer." [emphasis added] Once a donor makes such a promise, the maker of the promise assumes an offsetting liability to the extent it may be recorded as an asset by the nonprofit.  Page 31 of the above document – quoting from Concept Statement 6 – states that "liabilities are probable future sacrifices of economic benefits arising from present obligations of a particular entity to transfer assets or provide services to other entities in the future as a result of past transactions or events."

As outlined on page 30 of FASB Statement of Financial Accounting Standards No. 116, the definition of a promise to give is "a written or oral agreement to contribute cash or other assets to another entity.  A promise carries rights and obligations – the recipient of a promise to give has a right to expect the receipt of promised assets in the future, and the maker has a social and moral obligation, and generally a legal obligation, to make a promised transfer." [emphasis added] Once a donor makes such a promise, the maker of the promise assumes an offsetting liability to the extent it may be recorded as an asset by the nonprofit.  Page 31 of the above document – quoting from Concept Statement 6 – states that "liabilities are probable future sacrifices of economic benefits arising from present obligations of a particular entity to transfer assets or provide services to other entities in the future as a result of past transactions or events."

As outlined on page 30 of FASB Statement of Financial Accounting Standards No. 116, the definition of a promise to give is "a written or oral agreement to contribute cash or other assets to another entity.  A promise carries rights and obligations – the recipient of a promise to give has a right to expect the receipt of promised assets in the future, and the maker has a social and moral obligation, and generally a legal obligation, to make a promised transfer." [emphasis added] Once a donor makes such a promise, the maker of the promise assumes an offsetting liability to the extent it may be recorded as an asset by the nonprofit.  Page 31 of the above document – quoting from Concept Statement 6 – states that "liabilities are probable future sacrifices of economic benefits arising from present obligations of a particular entity to transfer assets or provide services to other entities in the future as a result of past transactions or events."

As outlined on page 30 of FASB Statement of Financial Accounting Standards No. 116, the definition of a promise to give is "a written or oral agreement to contribute cash or other assets to another entity.  A promise carries rights and obligations – the recipient of a promise to give has a right to expect the receipt of promised assets in the future, and the maker has a social and moral obligation, and generally a legal obligation, to make a promised transfer." [emphasis added] Once a donor makes such a promise, the maker of the promise assumes an offsetting liability to the extent it may be recorded as an asset by the nonprofit.  Page 31 of the above document – quoting from Concept Statement 6 – states that "liabilities are probable future sacrifices of economic benefits arising from present obligations of a particular entity to transfer assets or provide services to other entities in the future as a result of past transactions or events."