Nonprofit Finance Director Job Description [Updated for 2025]

nonprofit finance director job description

In the realm of social impact, the role of a Nonprofit Finance Director has never been more crucial.

As organizations strive to make a difference, the need for proficient individuals who can effectively manage, allocate, and protect their financial resources escalates.

But let’s delve deeper: What’s truly expected from a Nonprofit Finance Director?

Whether you are:

  • A job seeker trying to understand the core responsibilities of this role,
  • A hiring manager drafting the profile of the ideal candidate,
  • Or simply interested in the financial management of nonprofit organizations,

You’re in the right place.

Today, we present a customizable Nonprofit Finance Director job description template, designed for easy posting on job boards or career sites.

Let’s dive right into it.

Nonprofit Finance Director Duties and Responsibilities

Nonprofit Finance Directors oversee the financial operations and strategy of a nonprofit organization, ensuring regulatory compliance, maximum resource utilization, and financial sustainability.

They have the following duties and responsibilities:

  • Develop and execute the organization’s financial strategy, including budgeting, forecasting, and long-term planning
  • Manage and supervise all financial operations such as invoicing, payroll, reporting, and other transactions
  • Prepare and present regular financial reports and analysis to the board, staff, and stakeholders
  • Ensure compliance with federal, state, and local legal requirements by researching existing and new legislation, consulting with outside advisors, and filing financial reports
  • Design, implement, and manage internal financial controls and procedures to maximize efficiency and safeguard assets
  • Work closely with the executive director and other department heads to strategize on fund development plans and align them with financial plans
  • Manage and oversee the annual audit process, liaise with external auditors and the finance committee of the board of directors
  • Recommend cost-saving measures and identify funding opportunities
  • Provide leadership and support to the organization’s financial team, fostering a culture of transparency, collaboration, and accountability

 

Nonprofit Finance Director Job Description Template

Job Brief

We are seeking a dedicated and experienced Nonprofit Finance Director to manage our organization’s financial operations and to guide our financial planning strategies.

Responsibilities include overseeing budgeting, reporting, auditing, investment, and insurance functions.

The ideal candidate will have a strong background in nonprofit financial management, strategic planning, and team leadership.

The goal is to guide our organization towards sustainability and success while also adhering to all legal regulations and requirements.

 

Responsibilities

  • Oversee the financial strategic planning of the organization by evaluating its performance and potential risks
  • Develop budgets that reflect the organization’s short and long-term goals
  • Direct all aspects of accounting operations, overseeing all transactions related to general ledger, receivables, payables, payroll and financial reporting
  • Ensure the organization complies with all regulatory requirements and guidelines
  • Analyze the organization’s financial details to identify development opportunities and areas where improvement is needed
  • Provide executive management with advice on the financial implications of business activities
  • Liaise with auditors to ensure appropriate monitoring of company finances is maintained
  • Implement operational best practices and systems for collecting, analyzing, verifying, and reporting financial information

 

Qualifications

  • Proven experience as a Finance Director, preferably within the nonprofit sector
  • In-depth knowledge of nonprofit financial law and risk management practices
  • Excellent knowledge of data analysis and forecasting methods
  • Ability to strategize and solve problems
  • Strong leadership and organizational skills
  • Excellent communication and people skills
  • An analytical mind, comfortable with numbers
  • CPA is a strong advantage
  • BSc/BA in Accounting, Finance or relevant field; MSc/MA/MBA is preferable

 

Benefits

  • Health insurance
  • Retirement plan
  • Paid time off
  • Professional development opportunities

 

Additional Information

  • Job Title: Nonprofit Finance Director
  • Work Environment: Office setting with some options for remote work. Occasional travel may be required for meetings or conferences.
  • Reporting Structure: Reports to the Executive Director or Board of Directors.
  • Salary: Salary is based upon candidate experience and qualifications, as well as market and business considerations.
  • Pay Range: $90,000 minimum to $150,000 maximum
  • Location: [City, State] (specify the location or indicate if remote)
  • Employment Type: Full-time
  • Equal Opportunity Statement: We are an equal opportunity employer and value diversity at our organization. We do not discriminate on the basis of race, religion, color, national origin, gender, sexual orientation, age, marital status, veteran status, or disability status.
  • Application Instructions: Please submit your resume and a cover letter outlining your qualifications and experience to [email address or application portal].

 

What Does a Nonprofit Finance Director Do?

Nonprofit Finance Directors are key individuals in nonprofit organizations responsible for managing the financial operations and strategy.

They oversee the organization’s budgeting, financial planning, cash flow, and investment priorities.

They often supervise the accounting team to ensure accurate financial reporting and to maintain financial controls.

Nonprofit Finance Directors are tasked with forecasting and modeling to predict future financial trends and the financial impact of various strategic decisions.

They also have a role in risk management, identifying and mitigating financial risks.

They also work closely with organizational leadership, the board of directors, and department heads to provide financial insights and guidance.

Their role often includes explaining complex financial information in a clear and understandable way to non-financial stakeholders.

In addition, they ensure the organization’s financial practices align with regulatory standards and ethical norms, and that the organization maintains its nonprofit status.

Depending on the size and structure of the organization, they may also be involved in fundraising efforts, grant proposal development, and donor relations.

 

Nonprofit Finance Director Qualifications and Skills

A competent Nonprofit Finance Director should have the skills and qualifications that align with your job description, such as:

  • Strong financial management skills to oversee and manage the financial health of the organization, including budgeting, forecasting, and financial reporting.
  • Understanding of nonprofit accounting in accordance with generally accepted accounting principles.
  • Excellent strategic planning skills to develop and implement financial strategies that align with the organization’s goals.
  • Strong leadership skills to manage and mentor the finance team, ensuring they are focused and productive.
  • Strong communication and presentation skills to explain and report financial matters to board members and other non-financial staff.
  • Ability to analyze financial data and create financial models for decision making.
  • Experience with the financial audit process, ensuring compliance with state and federal government regulations.
  • Proficiency with accounting software, databases, and financial analysis tools.
  • Excellent problem-solving skills to identify and resolve financial issues that may impact the organization’s operations or financial stability.
  • Effective interpersonal skills to work collaboratively with other departments within the organization.

 

Nonprofit Finance Director Experience Requirements

For entry-level roles as a Nonprofit Finance Director, candidates may require a minimum of 5 years of experience in financial management, ideally within a nonprofit organization.

This experience could be in roles such as Financial Analyst, Financial Manager, or similar positions that involve budgeting, forecasting, and financial reporting.

Candidates aspiring for mid-level positions should have at least 7 to 10 years of experience, with a proven track record of managing the financial health of a nonprofit organization.

Experience in strategic planning, fundraising, and grant management is often preferred.

For senior-level Nonprofit Finance Director positions, candidates should have more than 10 years of experience, and in addition to a strong finance background, they should also have leadership experience.

This might include managing a team, implementing financial policies and procedures, and providing financial advice to the board of directors.

Furthermore, a Nonprofit Finance Director should be well-versed with tax laws and regulations applicable to nonprofit organizations, and should have experience in managing audits and compliance with these regulations.

All candidates should have relevant educational qualifications, typically a bachelor’s degree in finance, accounting, or related field, and certifications such as Certified Public Accountant (CPA) can provide an edge.

A Master’s degree in Business Administration or Finance is often preferred for senior roles.

 

Nonprofit Finance Director Education and Training Requirements

Nonprofit Finance Directors typically have a bachelor’s degree in finance, accounting, business administration, or a related field.

They require a comprehensive understanding of financial principles, budgeting procedures, and strategy development.

Knowledge of nonprofit accounting, including fund accounting, grant administration, and fiscal management, is highly beneficial.

Many positions demand a minimum of five to ten years of experience in a senior financial managerial role.

A master’s degree in business administration (MBA) or a related field can be advantageous.

Moreover, a Certified Public Accountant (CPA) or Certified Management Accountant (CMA) designation is often preferred and can showcase a candidate’s commitment to the field.

Furthermore, Nonprofit Finance Directors should have a working knowledge of federal and state financial regulations, as well as proficiency in financial software and reporting systems.

Ongoing training and professional development, such as attending relevant workshops, courses, and seminars, can help Nonprofit Finance Directors stay up-to-date with changes in regulations and best practices.

 

Nonprofit Finance Director Salary Expectations

A Nonprofit Finance Director earns an average salary of $75,124 (USD) per year.

The actual earnings can depend on factors such as the size and location of the nonprofit organization, the individual’s level of experience, and the specific responsibilities entailed in the role.

 

Nonprofit Finance Director Job Description FAQs

What skills does a Nonprofit Finance Director need?

A Nonprofit Finance Director should have strong analytical skills and an eye for detail to monitor the organization’s financial health.

They need to be proficient in budgeting, financial forecasting, and financial report analysis.

Good communication skills are important to explain complex financial information to non-finance colleagues.

Leadership and management skills are also essential as they will lead a finance team.

 

Do Nonprofit Finance Directors need a degree?

Yes, most organizations require a Nonprofit Finance Director to have at least a bachelor’s degree in finance, business administration, or a related field.

A Master’s degree in finance or a related field may be preferred.

Certifications such as Certified Public Accountant (CPA) or Certified Management Accountant (CMA) can also be beneficial.

 

What should you look for in a Nonprofit Finance Director resume?

Look for candidates with strong experience in financial management, preferably within a nonprofit organization.

They should demonstrate experience in financial analysis, budgeting, and strategic planning.

Leadership experience is also essential as they will be managing a team.

Their resume should display their familiarity with finance software and their ability to develop financial strategies.

 

What qualities make a good Nonprofit Finance Director?

A good Nonprofit Finance Director is proactive, strategic, and has an ability to lead.

They need to be detail-oriented to catch any discrepancies in financial data and diligent in ensuring compliance with financial regulations.

Strong interpersonal skills are essential to communicate effectively with colleagues, board members, and external stakeholders.

They should also be highly ethical and have a strong commitment to the organization’s mission.

 

Is it difficult to hire a Nonprofit Finance Director?

Hiring a Nonprofit Finance Director can be challenging as it requires finding someone with a unique blend of financial expertise, leadership skills, and a passion for nonprofit work.

The person should not only be able to understand and manage the financial aspects of the organization, but also understand the unique challenges and constraints of the nonprofit sector.

 

Conclusion

And there we have it.

Today, we’ve unveiled the essence of what being a Nonprofit Finance Director truly entails.

But guess what?

It’s not just about managing budgets.

It’s about steering the financial future of an organization, one fiscal decision at a time.

With our comprehensive Nonprofit Finance Director job description template and real-life examples, you’re well on your way.

Yet, why stop there?

Delve deeper with our job description generator. It’s your ultimate tool for creating spot-on job listings or refining your resume to perfection.

Remember:

Every financial decision is a part of a larger mission.

Let’s advance that mission. Together.

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