When Does a Nonprofit Need an Audit?
Running a nonprofit organization means managing mission-focused work while adhering to critical compliance and financial standards. At SSL Associates, we understand nonprofit organizations’ unique challenges in meeting audit requirements and financial accountability. Our accounting firm specializes in nonprofit audits, and this guide outlines when and why a nonprofit might need an independent audit. Below, we offer insight into audit types, triggers, and considerations for achieving robust financial health and compliance.
FinCEN: Understanding the Financial Crimes Enforcement Network
In today’s increasingly interconnected world, financial crimes pose significant threats to national security and the financial system’s stability. The Financial Crimes Enforcement Network (FinCEN) plays an important role in combating these threats by enforcing regulations designed to detect and prevent illegal activities, such as money laundering and terrorist financing.
Understanding FinCEN’s responsibilities and the regulations it enforces is essential for businesses that want to maintain compliance and avoid the severe penalties associated with non-compliance.
At SSL Associates, Ltd., we specialize in helping businesses navigate complex regulatory landscapes, including those overseen by FinCEN. Our audit and assurance services are designed to ensure that companies remain compliant with these critical regulations to safeguard their operations against potential risks.
What Is the Difference Between Audit and Assurance Services?
Understanding the difference between audit and assurance services is essential for companies that want to maintain accurate financial records and ensure transparency. While both processes are important to improve the reliability of financial information, they serve distinct purposes.
You Go-To Nonprofit Audit Guide and Checklist
Nonprofit audits are the backbone of financial transparency, accountability, and compliance with regulations. In this guide, our team at SSL Associates aims to demystify the audit process, highlight its importance, and offer a step-by-step checklist to help nonprofits prepare effectively. Whether your organization is mandated to undergo an audit or opts for one voluntarily, understanding the intricacies can improve your financial health and boost donor confidence. Let’s dive into the essentials of a nonprofit audit to set up your organization for success.
How to Prepare for Grant Audits
Preparing for a grant audit can seem overwhelming, but this doesn’t have to be the case. With proper planning and organization, you can successfully navigate the process. Whether you’re managing federal funding or private grants, understanding audit requirements and establishing robust procedures is crucial for maintaining compliance and demonstrating responsible stewardship of grant funds. Below, our team at SSL Associates will walk you through the steps so you’re better prepared for your grant audit.
Are Nonprofits Eligible for ERC?
The COVID-19 pandemic created unprecedented challenges for nonprofit organizations across the United States. Many faced difficult decisions about maintaining their workforce while dealing with reduced funding and operational restrictions. As a Chicago-based CPA firm serving clients nationwide, SSL Associates understands the unique challenges nonprofits face in navigating complex tax credits and financial opportunities, especially in the wake of the pandemic.
A crucial lifeline that many nonprofit organizations may have overlooked is the Employee Retention Credit (ERC), which is a refundable tax credit designed to help employers maintain their workforce during the pandemic. While many tax-exempt organizations initially assumed they wouldn’t qualify, this valuable program is indeed available to nonprofits. It can even potentially provide significant financial relief. Let’s explore this topic so you can determine if your nonprofit qualifies.
Form 990 vs. 990-EZ: What’s the Difference?
As a nonprofit organization, it’s essential that you understand which IRS forms you need to file for compliance. The Form 990 series includes several options, but two of the most common are Form 990 and Form 990-EZ. So, what’s the difference, and how do you know which is right for you?
SSL Associates is a Chicago-based CPA firm that provides nonprofit tax services nationwide, helping tax-exempt organizations understand and fulfill their IRS filing requirements. Let’s explore what makes these forms different so you can determine which one your organization should use.
The Difference Between Restricted and Unrestricted Funds for Nonprofits
Whether you’re a small local charity or a large national foundation, understanding the key differences between restricted and unrestricted funds — and how to manage them effectively — is essential for your long-term success. The main difference is that restricted funds are designated for specific purposes, while unrestricted funds can be used at the organization’s discretion to support its overall mission.
Addressing Audit Observations and Findings
Understanding audit findings and observations is crucial for any organization striving for operational excellence and regulatory compliance. At SSL Associates, our audit and assurance services are designed to help you interpret and respond to audit findings effectively and without stress.
In today’s complex financial and legal landscape, handling these findings properly can make all the difference between organizational success and potential compliance issues. Let’s decode the key aspects of audit findings and recommendations so you can better navigate this critical area.
What Are the Single Audit Requirements in 2025?
Organizations that receive federal funding must maintain strict accountability for how they use these funds. A Single Audit is a compliance audit under Generally Accepted Government Auditing Standards and includes a comprehensive examination of an organization’s financial practices and compliance with federal requirements. Let’s explore what organizations need to know about Single Audit requirements and how to prepare for them.