Common Audit Pitfalls and Implementing the New Standards Register
11:30 to 12:30-Common Audit Pitfalls and Implementing the New Standards
How should you evaluate your audit process? Please bring your questions so we can have a candid conversation regarding the auditing process. We will share our expertise and candid advice to better prepare you for this important role for your organization.
While not required by law, one reason a nonprofit might conduct an audit is to demonstrate the organization’s commitment to financial transparency and accountability.
And while a nonprofit can spend considerable resources for its annual audit, it is important that it consider the following to ensure the audit is a success.
No delays: An audit needs to avoid any major delays.
Minimal accrual and year-end adjustments: The nonprofit needs to ensure that all accrual and year-end adjustments are completed prior to the start of the audit.
Minor board and management comments: It is a good idea to have an exit interview after the fieldwork to review the audit’s results.
No material weakness or significant deficiency: This is a deficiency in internal controls that could negatively impact financial integrity.
Nonprofit should prepare audited financial statements and related disclosures: The organization should have the ability and accounting systems to prepare the audited financial statements and related footnotes and disclosures.
Fraud detection is not the purpose of audit: While nonprofit leaders may believe the annual audit will uncover fraud, it is very unlikely this will occur.
Auditor does not guarantee financial statement accuracy: While auditor does issue an opinion on the nonprofit’s financial statements, the auditor does not certify or guarantee its accuracy.
If your nonprofit has one of these audit pitfalls or misperceptions, you should take action to bring expertise and capacity to your organization to remedy it.
This webinar will help Nonprofit Leaders, Executive Directors, Finance Directors, and Finance Staff to better prepare for an annual audit. Savvy nonprofit leaders know that effective financial audits can be the difference between good and great performance.
Immediately following the presentation on nonprofit financial governance, we will host a MIP Fund Accounting User Group meeting focusing on how to use MIP to help with your audit.
3 Key Things you will learn include:
- Why audits have become more complicated to complete?
- Best practices to improve annual audit
- What audit pitfalls should I avoid?
Those attending the forum will receive handouts.
12:30 to 12:50-MIP User Group-How to use MIP to help with your audit?
12:50 to 1:00-FTM Updates and Closing Register