Financial Statement Audits

Audit requirements can come from several places: grantors and funders, lenders, state charitable registration rules and your board or bylaws. In Pennsylvania, charities that register with the Department of State generally must submit audited financial statements once annual gross contributions reach $750,000. Charities with between $250,000 and $750,000 in contributions can submit reviewed statements instead. Organizations that spend $1,000,000 or more in federal awards in a fiscal year are also subject to a Single Audit under the federal Uniform Guidance. Our audit team performs Single Audits for nonprofits and other organizations that reach this threshold.

An audit provides reasonable assurance that your financial statements are fairly presented. It includes testing balances and transactions and gaining an understanding of your internal controls. A review provides limited assurance, based mainly on analytical procedures and inquiries. A compilation presents your financial information in financial statement form without providing assurance. Lenders, funders and regulators usually specify which level they require.

It depends on the size and complexity of the organization and how ready your records are. A typical audit includes planning, fieldwork and reporting, and we agree on a timeline with you up front so the report is ready when your lender, funder or board needs it.

Yes. Organizations change auditors for many reasons, including fees, service or a need for a fresh perspective. We coordinate with your prior auditor as professional standards require, so the transition is smooth for your team.