# ASC 450-958-05: Contingencies — Not-for-Profit Entities — 05 Overview and Background

Source: FASB Accounting Standards Codification, Basic View

[Read online](https://asc.understandingaccounting.org/asc/450/958/#05-overview-and-background)

Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective.

Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure.

Source downloaded (UTC): 2026-09-10T00:29:01.058Z to 2026-09-10T00:29:01.058Z

Record version: sha256:10038204553444074fd6278fadd2edd5e0987378b3b23f0a333d38078ab310fc

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


## ASC 450-958-05: 05 Overview and Background

[Read section](https://asc.understandingaccounting.org/asc/450/958/#05-overview-and-background)

SEC content: no

##### [450-958-05-1](https://asc.understandingaccounting.org/asc/450/958/#450-958-05-1)

Pending content: no

Source downloaded (UTC): 2026-09-10T00:29:01.058Z to 2026-09-10T00:29:01.058Z

Record version: sha256:05a609256c5d8faf174049a8b2e4f78d443057393b5d06c65f156a125f36077a

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


This Subtopic provides guidance on contingencies for [not-for-profit entities](https://asc.understandingaccounting.org/glossary/n/#not-for-profit-entity "An entity that possesses the following characteristics, in varying degrees, that distinguish it from a business entity: Contributions of significant amounts of resources from resource providers who do not expect commensurate or proportionate pecuniary return Operating purposes other than to provide goods or services at a profit Absence of ownership interests like those of business entities. Entities that clearly fall outside this definition include the following: All investor-owned entities Entities that provide dividends, lower costs, or other economic benefits directly and proportionately to their owners, members, or participants, such as mutual insurance entities, credit unions, farm and rural electric cooperatives, and employee benefit plans.") (NFPs). NFPs also shall comply with the applicable standards in Topic 450.