What is a program-specific audit?
A program-specific audit covers one federal program instead of the whole entity. It is available when the auditee expends federal awards under only one program and the program's statute, regulation or award terms do not require a financial statement audit (2 CFR 200.501(c)).
Last verified: 2026-09-20 · Every figure links its source.
When can a nonprofit choose a program-specific audit?
- Federal awards were expended under only one federal program in the fiscal year.
- That program's statute, regulation or award terms do not require a financial statement audit.
- The organization is otherwise above the threshold, so an audit is required at all.
Research and development is treated separately; where R&D is involved, check the current text of 2 CFR 200.501 before electing.
Source: 2 CFR 200.501 · 2 CFR 200.507 · Last verified: 2026-09-20
What does the auditor follow?
If the federal agency publishes a program-specific audit guide, the auditor follows it together with GAGAS (2 CFR 200.507(a)). Where no current guide exists, the auditee and auditor have substantially the same responsibilities as for a major program in a single audit: the auditee prepares financial statements for the program, a schedule of expenditures of federal awards for it with notes on the significant accounting policies, a summary schedule of prior audit findings and a corrective action plan (200.507(b)).
Source: 2 CFR 200.507 · GAO Government Auditing Standards · Last verified: 2026-09-20
What does the reporting package contain and when is it due?
| With an audit guide | Without a guide |
|---|---|
| Data collection form plus the reporting required by the guide | Data collection form, program financial statements, schedule, summary schedule of prior findings, corrective action plan and the auditor's reports |
The deadline is identical to a single audit: the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period (2 CFR 200.507(c)).
Source: 2 CFR 200.507 · 2 CFR 200.512 · Last verified: 2026-09-20
Is it cheaper than a single audit?
Often, because the compliance work is limited to one program and there is no major program determination to perform. It is not automatically cheaper: if a funder or a lender still requires audited financial statements for the whole organization, you end up buying both, and the single audit would have covered the ground once. Price both before electing.
Source: 2 CFR 200.507 · 2 CFR 200.425 · Last verified: 2026-09-20
Questions and answers
What is a program-specific audit?
An audit of one federal program instead of the whole entity, available when federal awards were expended under only one program and that program does not require a financial statement audit.
Is the threshold the same for a program-specific audit?
Yes. The audit requirement itself is triggered by federal awards expended reaching the threshold in 2 CFR 200.501; the election only changes the form of the audit.
Only one federal program? Check the threshold first.
This is public-record information, not accounting or legal advice.