Reporting under the simplified regime (RJk C2): annual accounts and board report for small fundraising organizations
A fundraising organization with total income below €1,000,000 reports under chapter C2 of the guidelines for small legal entities: the same logic as the full RJ 650, with fewer prescribed categories and lighter disclosures. In this page you will find what the simplified annual accounts and management report must contain, and where the regime is lighter than the full standard.
How C2 fits with the other rules
C2 is applied together with the general chapter C1 (small nonprofits) and the other chapters of the small-entity guidelines; where C2 deviates from C1, C2 prevails, and for the management report C2 is the complete set of rules. (C2 §101–102)
The balance sheet
The balance sheet follows the model in Appendix (Bijlage) 1 of the chapter. Equity is presented as reserves en fondsen (this equity may only be used for the objective), with reserves and funds shown separately. Reserves are subdivided into just two categories: designated reserves (bestemmingsreserves) and other reserves. Funds (bestemmingsfondsen) carry third-party restrictions. (C2 §202, §301–306)
For every reserve and fund, the notes show a movement schedule: opening balance, additions and withdrawals by nature, closing balance. If a restriction falls away or a campaign raises more than needed, the surplus moves to other reserves (or, by board decision, a designated reserve), with disclosure. (C2 §303, §307)
The statement of income and expenses
The statement follows the Bijlage 2 model with three columns: actual, budget of the reporting year, and prior year; budget-versus-actual differences are analyzed in the notes or management report. (C2 §308–309)
Income is presented gross in the same eight categories as the full standard: individuals, companies, lottery organizations, government subsidies, affiliated nonprofits, other nonprofits, income for products/services, other. (C2 §310) Category specifics:
- Individuals : the notes break this down into collections, bequests, membership fees, donations and gifts, own lotteries and prize draws, and other. (C2 §311)
- Government subsidies : only subsidies from governments (including the EU and comparable bodies), also when routed via another organization under the same conditions; the notes state whether they are incidental or structural. For everything else, including subsidies with spending and repayment conditions, chapter B17 Government subsidies applies. (C2 §312)
Conditional grants: booking funding you might have to repay - Products and services : presented at gross profit; the notes show net turnover, cost price and gross profit. Own contributions paid by the target group are visibly deducted from the expenses in the notes. (C2 §313)
- Financial income and expenses : one net line (interest and investment results, minus investment costs). (C2 §314)
The allocation of the year's result to the reserves and funds is shown under the statement or in the notes. (C2 §322)
Expenses: three categories
Expenses appear in the same three activity categories as the full standard: spent on objectives (per main objective when there are several), fundraising costs, and management & administration. Public education counts as an objective rather than fundraising under the same conditions as in RJ 650; for mixed education-and-fundraising activities the education share may be allocated to the objective, with the allocation method disclosed and applied consistently. The amount of education costs, and the line item in which they are included, are disclosed separately in the notes. (C2 §315–320)
Director and supervisor remuneration
Where applicable, the notes disclose per individual current and former director and supervisor: remuneration including pension charges, contract hours and part-time percentage, plus any loans, advances or guarantees. (C2 §321)
The management report
The management report covers seven topics (C2 §402–409). If volunteer work is important to the organization, the management report must also mention it. (C2 §402)
1
Objective, mission, vision
Statutory objective(s), mission and vision in outsider-friendly language (§403)
2
Governance
Names and functions of directors, management and, where present, supervisors, incl. their paid and unpaid main and side positions, plus the policy on communication with stakeholders (§404)
3
Goal realization & activities
Main goal and target group, the programs/projects to achieve it, which goals were and were not achieved with an evaluation of how the effects contribute to the main goal, and the consequences of that evaluation for the multi-year policy plan (§405)
4
Financial developments
Fundraising methods, intended vs realized spending ratios (objectives / fundraising / M&A, and fundraising costs vs raised income), and the policy on function and size of reserves and funds (§406)
5
Main risks and uncertainties
Description of the principal risks and uncertainties facing the organization (§407)
6
Future expectations
Main plans for the short and medium term, plus a summarized budget for the coming year — unless the function the organization assigns to the budget makes that not meaningful (§408)
7
Social aspects
Environmental, social and economic aspects (MVO); the organization determines whether, and if so how, to report on them and which aspects are most relevant (§409)
Stakeholder communication is no longer a separate topic: since the 2024 revision of the chapter it is part of governance (§404).
Where C2 is lighter than the full RJ 650
Reserve categories
Five (continuity, statutory, designated, revaluation, other)
Two (designated, other)
Cost specification by type
Mandatory Bijlage 3 matrix + personnel cost breakdown + average FTE
Not prescribed
Fundraising ratio
Percentage mandatory in the notes
Ratio discussed in the management report only
Financial income disclosure
Six-line breakdown in the notes
One net line
Management report
Ten topics, incl. soft controls, financial instruments, reserve risk analysis
Seven lighter topics
Consolidation
Small-entity exemption not available
Small-entity exemption available; for the art. 2:407 lid 2a test the C2 §101 income threshold applies, not the art. 2:396 amounts (C2 §102, RJ-Uiting 2024-19 )
Good to know
- This page follows chapter C2 (aangepast 2024), effective for financial years starting on or after 1 January 2025; it replaced the 2022 revision and restructured the management report section (verified against the RJk 2025 bundle).
- The budget column in the statement of income and expenses is not dropped in the simplified regime: small organizations also show budget versus actual. (C2 §309)
- Sector norms (CBF Erkenningsregeling) apply per recognition category and are separate from these reporting rules; the Erkenningsregeling for the smallest categories itself points to C2 as the reporting basis.
- Official text: CBF's published C2 chapter and rjnet.nl .