Nonprofit Audit Preparation Checklist

The documents a nonprofit is asked for before a financial statement audit, in four sections, plus the eight extra items a single audit adds. Enter an EIN and the federal programs and prior-year findings from your own last report are added by name.

Federal award items cite 2 CFR 200.508 and 2 CFR 200.510–200.511 · Last verified: 2026-09-21. This is what an engagement team requests, not a legal requirement in itself.

The base list, section by section

Year-end closing

• Trial balance for the fiscal year, and the prior year for comparison
• General ledger detail, exported for the whole year
• Bank statements and reconciliations for every account, for the final month and for any month the auditor selects
• Investment statements at year end, with the fair value basis
• Journal entries posted after the close, with support

Revenue and receivables

• Grant and contract agreements signed or amended during the year
• Schedule of contributions with donor restrictions, and the releases from restriction
• Accounts and pledges receivable aging at year end, with the allowance basis
• Deferred revenue schedule, with the condition that has not yet been met

Expenses, payroll and liabilities

• Accounts payable aging and the search for unrecorded liabilities
• Payroll registers, the year-end accrual for leave, and the most recent Forms 941 and W-3
• Allocation basis for functional expenses (program, management and general, fundraising)
• Debt agreements, lines of credit and covenant calculations
• Lease agreements in effect during the year, including any signed after year end

Governance and policies

• Board and finance-committee minutes for the whole year, including any after year end
• Conflict-of-interest statements signed for the year
• Whistleblower and document-retention policies as currently adopted
• Insurance policies in force, including directors and officers
• The most recently filed Form 990 and any amendment

The extra list a single audit adds

Federal awards (single audit)

• Schedule of expenditures of Federal awards (SEFA) with the Assistance Listing Number, the pass-through entity and the identifying number for every award (2 CFR 200.510(b))
• Notes to the SEFA, including the de minimis indirect cost rate election if one was made
• Award agreements and amendments for every program on the SEFA
• Summary schedule of prior audit findings, with the status of each (2 CFR 200.511(b))
• Corrective action plan for each current-year finding (2 CFR 200.511(c))
• Procurement policy in effect during the year, and the documentation for the largest procurements
• Subrecipient agreements, risk assessments and monitoring records (2 CFR 200.332)
• Reports filed with the awarding agency during the year, with the support for the figures reported

What does an auditor ask for?

A trial balance and general ledger, bank and investment statements with reconciliations, the revenue and receivable schedules with the donor restrictions, payroll and payables, the functional expense allocation, debt and lease agreements, board minutes and the signed policies. The list below is that request, section by section.

What is added for federal awards?

The schedule of expenditures of federal awards with an Assistance Listing Number for every award, the notes to it, the award agreements, the summary schedule of prior audit findings, the corrective action plan, the procurement documentation and the subrecipient monitoring records. Enter an EIN above and the programs from your own last schedule are listed by name.

What about last year's findings?

Every finding on the most recent report needs its corrective action and current status for the summary schedule of prior audit findings (2 CFR 200.511(b)). Enter an EIN and each one is listed with the compliance requirement it was reported against.

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