non profit doesn't mean no profit. Common misconception. Yes, your PTO can earn interest income, and keep money in the bank at year's end (another common misconception). Just be sure you report the interest income properly on your annual 990 return to the IRS (presuming your PTO is a formal 501c3).
Hi does anyone know if a pto with non profit status can keep funds in a cd to earn the intrest? We have a big ticket item we are going to be saving for and that 5% intrest sure would be nice.
