Association Bookkeeping: Simple or Double-Entry Accounting?

01Bookkeeping obligations for associations in Switzerland

Since 2023, the bookkeeping obligation for associations has been clearly regulated in Art. 69a of the Swiss Civil Code (ZGB). Every association must maintain proper bookkeeping — even if it is small and generates no profit.

The key question is not whether you need to keep books, but how:

Criterion	Simple bookkeeping	Double-entry bookkeeping
Commercial registry	Not required to register	Required to register or voluntarily registered
Type of bookkeeping	Income-expense statement	Balance sheet + income statement
Typical association	Sports club, music society, neighbourhood association	Association running a commercial business (e.g. restaurant)
Legal basis	Art. 957 para. 2 CO	Art. 957 para. 1 CO + Art. 957a–958f CO

02When is simple bookkeeping sufficient?

The vast majority of Swiss associations may use simple bookkeeping (income-expense statement). This means: you list all income and expenses chronologically — done.

Simple bookkeeping is sufficient if your association:

Is not registered in the commercial registry (and doesn't need to be)
Does not operate a commercial business — i.e. no permanent, profit-oriented economic activity
Is not subject to audit requirements (applies only to very large associations)

This applies to the vast majority of associations: sports clubs, music societies, neighbourhood associations, cultural associations, parents' associations, hobby clubs and many more.

The CHF 100,000 mythYou often read that double-entry bookkeeping is mandatory from CHF 100,000 revenue. This is not true for associations. The revenue threshold of CHF 500,000 applies only to natural persons (sole proprietorships). For associations, the only deciding factor is whether a commercial business is being operated — not the revenue.

03When does an association need double-entry bookkeeping?

Double-entry bookkeeping is only mandatory if your association must be registered in the commercial registry. This is the case when:

The association operates a commercially managed business to achieve its purpose (e.g. an association running a restaurant, fitness centre or shop)
The association is subject to audit requirements (from 10 full-time positions on annual average, or if 20% of members request it)

What counts as a commercial business?A commercial business exists when the association conducts a planned, long-term and externally oriented economic activity. An annual club festival with a food stand is not sufficient. But an association that operates a restaurant year-round does qualify.

Important: even if your association voluntarily registers in the commercial registry, double-entry bookkeeping becomes mandatory. So think carefully about whether voluntary registration is really necessary.

04Simple bookkeeping: What it looks like in practice

With simple bookkeeping, you maintain an income-expense journal. Every financial transaction is recorded with date, description, amount and category.

Example: Football Club FC Muster

Date	Description	Income	Expense	Category
05.01.	Membership fees 2026	CHF 8,400		Membership fees
12.01.	Hall rental January		CHF 450	Rent / Facilities
20.01.	Sponsorship Müller AG	CHF 2,000		Sponsorship
28.01.	Jerseys junior team		CHF 1,200	Equipment
03.02.	Cake sale at club event	CHF 680		Events
15.02.	Referee costs		CHF 320	Match operations
01.03.	Insurance premium		CHF 890	Insurance
10.03.	Municipal contribution	CHF 1,500		Subsidies

At the end of the association's financial year, you add everything up:

Item	Amount
Total income	CHF 12,580
Total expenses	CHF 2,860
Result (surplus)	CHF 9,720

This summary — the annual financial statement — is presented at the general assembly (GA). Together with the receipts, your association's bookkeeping is in order.

05The annual financial statement for the GA

The general assembly approves the annual financial statement every year. As treasurer, you need to prepare the following documents:

Income-expense statement: Listing of all income and expenses, ideally grouped by category
Asset overview: Account balance as at 31 December (bank account, cash register, any securities)
Budget comparison: Comparison of budget and actual figures — so members can see whether the association is on track
Budget for the new year: Estimated income and expenses for the coming financial year
Auditors' report: The auditors review the bookkeeping and recommend that the GA approve the accounts

Tip: Choose categories wiselyGroup income and expenses into 8–12 categories that suit your association. Typical: membership fees, sponsorship, subsidies, events, rent, equipment, insurance, administration, match operations. This makes the annual statement clear and understandable.

06Typical income and expenses of an association

Income

Category	Examples
Membership fees	Annual fees, admission fees
Sponsorship	Sponsorship contracts, advertising boards, jersey advertising
Subsidies	Municipal contributions, cantonal funding
Events	Food and drink sales, raffles, admission fees
Donations	Individual donations, fundraising campaigns
Other income	Interest income, material sales

Expenses

Category	Examples
Rent / Facilities	Hall rental, pitch rental, room costs
Equipment	Jerseys, balls, instruments, devices
Match operations / Performances	Referees, licences, sheet music, travel costs
Events	Event costs, catering, decoration
Insurance	Association liability, accident insurance
Administration	Printing, postage, software, bank fees
Coaches / Leaders	Fees, compensations
Acquisitions	Furniture, technology, major investments

07Tax obligations: Does the association have to pay taxes?

Yes, in principle associations in Switzerland are subject to taxation — on both profit and assets. But there are important exceptions and allowances:

Profit tax: At federal level, an association is only taxable from a net profit of CHF 5,000. Cantonal allowances vary
Public benefit status: If your association pursues charitable purposes (culture, sport, education, social welfare) and profits are not distributed to members, a tax exemption can be applied for
VAT: The VAT obligation also applies to associations — but only from CHF 100,000 annual revenue from taxable services. Most small associations are not affected
Membership fees: Pure membership fees are generally not subject to VAT, as there is no specific consideration in return

Applying for tax exemptionCharitable associations can apply for a tax exemption from the cantonal tax office. Requirements: the association's purpose must be charitable, funds must be irrevocably dedicated to the purpose, and management must be voluntary or reasonably compensated.

08The right software for your association bookkeeping

Many small associations still use Excel or even paper. This works, but is error-prone and time-consuming. With the right association bookkeeping software, you save time and have the annual statement ready at the push of a button.

What good association bookkeeping software must do

Record income and expenses: Simply and quickly, with categories and receipts
Create annual statement: An clear summary for the GA at the push of a button
Customise categories: Categories must suit your association (membership fees, sponsorship, etc.)
Store receipts digitally: Assign receipts and invoices directly
Export options: PDF or CSV for auditors and the tax return

einzly for association bookkeepingeinzly was developed for simple bookkeeping in Switzerland. The income-expense statement is perfect for associations that don't operate a commercial business. Record income and expenses in seconds, assign receipts and create the annual statement for the GA — all digitally.

097 tips for clean association bookkeeping

Maintain a separate association account

Open a separate bank account for the association. This keeps association funds and personal money cleanly separated — making bookkeeping easier and creating transparency for members.

Record receipts immediately

Don't wait until the GA to sort receipts. Record every income and expense promptly. This saves you hours of tidying up at the end of the year.

Use categories consistently

Define your categories at the start of the year and use them consistently. This automatically makes the annual statement clear and comparable with the previous year.

Create and monitor a budget

Create a budget at the start of the financial year. Compare actual figures quarterly against the budget. This way you can spot early if income is missing or expenses are getting out of hand.

Involve auditors early

Give auditors enough time for their review. Ideally, hand over the documents 2–3 weeks before the GA — not the evening before.

Document cash income properly

Especially at events with cash sales: keep a cash register with a settlement. Every franc must be traceable.

Keep receipts for 10 years

Associations must also retain receipts and accounting documents for 10 years (Art. 958f CO). Digital storage is permitted and recommended.

10Frequently asked questions about association bookkeeping

Yes. Since the revision of Art. 69a ZGB, every association in Switzerland is obliged to maintain proper bookkeeping. For most small associations, the simple income-expense statement is sufficient.

There is no revenue threshold for associations. The deciding factor is whether the association operates a commercially managed business and therefore must be registered in the commercial registry. The CHF 500,000 revenue threshold only applies to sole proprietorships.

In most associations, the treasurer is responsible for bookkeeping. The responsibility is usually defined in the articles of association. The board bears overall responsibility for proper bookkeeping.

Yes, most cantons require an annual tax return — even from charitable associations. Tax-exempt associations may still need to file a simplified tax return depending on the canton. The net profit allowance at federal level is CHF 5,000.

Yes, einzly is excellent for associations with simple bookkeeping. You record income and expenses, assign receipts and create the annual statement for the GA — simply and quickly.