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2026 Audit Readiness Checklist

35 items across 7 categories. Check them off as you go — your progress saves automatically.

Updated for fiscal year 2026 · IRS Form 990 requirements and GAAS audit standards as of January 2026

35 items

7 categories

0 completed

0% ready

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Financial Statements

0 / 5

Statement of Financial Position (Balance Sheet) — current year
Statement of Activities (Income Statement) — current year
Statement of Cash Flows
Functional expense allocation schedule (program vs. G&A vs. fundraising)
Prior year comparative financials for auditor reference

Bank Reconciliations

0 / 5

All operating bank accounts reconciled through fiscal year-end
Investment / money market account statements (12 months)
Petty cash count and reconciliation
Outstanding checks list as of year-end
Bank confirmation letters sent to all financial institutions

Board Minutes & Governance

0 / 5

Signed minutes for all board meetings during fiscal year
Finance/audit committee minutes (if applicable)
Signed conflict of interest disclosures — all board members
Board-approved operating budget for the audit year
Board resolution authorizing the audit engagement

Grant Documentation

0 / 5

All active grant agreements with award amounts and restrictions noted
Restricted vs. unrestricted revenue tracking by grant source
Funder reports submitted and filed (progress + financial)
Federal expenditures schedule — Single Audit threshold check ($750K)
Grant closeout correspondence and final payment documentation

990 Preparation

0 / 5

Draft Form 990 (or 990-EZ) prepared and under review
Schedule A — public support calculation documented
Schedule B — list of substantial contributors (if applicable)
Key employee and officer compensation — W-2s and 1099s reconciled
Program service accomplishments narrative — current year activities

Internal Controls

0 / 5

Written accounting policies and procedures manual — current version
Dual-signature / dual-authorization policy for disbursements
Expense authorization matrix — who can approve at what threshold
Credit card policy and monthly statement reviews on file
Payroll register reviewed and approved by a non-payroll employee

Prior Year Findings

0 / 5

Prior year management letter — reviewed and filed
Written remediation plan for each prior year finding
Current status documented for every finding (resolved / in progress / open)
Evidence of corrective action for resolved findings
Auditor communication log — questions, requests, responses tracked