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KBLX 102.9 FM Weekend Nonprofit Tip! When to choose a Single Audit or External CPA firm Expert Opinion

NONProfits are sometimes required to have formal outside audits?

Audits  build donor confidence and increase protection against fraud.

If you have $500,000 or more a year in Federal grant expenses – You are required to have  an outside audit -  ‘ a single audit' to test for compliance  

States have varying audit threshold requirements – You must contact the state you receive grant dollars from to obtain their audit requirements  

Many foundation funders ask for an annual audit as a condition of funding.

A Nonprofit may elect to have an external CPA firm provide an Expert Written Opinion  Rather than a full-blown audit    

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