Inventory For Sheltered Workshops

Written by Kimberly Clark
Bookmark and Share

Most sheltered workshops are non-profit corporations that provide employment opportunities to individuals with disabilities or impairments. Typically, these kinds of organizations structure their pay scales in way that allows them to compensate their workers according to the workers' ability to produce. As a result, employment is generally provided in an assembly line setting, in which the workers are required to perform such tasks as packaging, bagging, stuffing, mailing or assembling items by hand.

Even though the sheltered workshops are non-profits, they are still businesses. As such, they still have the standard operating expenses, like labor and material costs. In addition, they are required to maintain the same business records, such as inventory logs, as other companies.

In order to fulfill their client's requests, the sheltered workshop needs to know if they have adequate inventory on hand to fulfill the order. In most cases, inventory can consist of raw materials, work in progress, or finished goods. To effectively track the inventory for a sheltered workshop, the administrators might want to invest in a job management or inventory control software product.

Tax Exempt Inventory

These types of tools can also be used to determine whether or not the items in inventory qualify for a tax exemption. Generally, inventoried items are tax-exempt if they are for sale or lease by the sheltered workshop. In addition, materials provided under contract are also exempt from taxes.

Bookmark and Share


thanks, we were lucky enuogh to live to tell! Yes, my sister-in-law (who lives in Denver) just sent photos. Cozy up and keep warm. @Liren at least he had actual perishable items in his house! That's more than most bachelors (at least the ones I know) can say.