{"version":1,"type":"rich","provider_name":"Libsyn","provider_url":"https:\/\/www.libsyn.com","height":90,"width":600,"title":"154: It's Gravy, Baby! | What is a Nonprofit Audit? with Hannah Hugen","description":"Think an audit is something to fear for your nonprofit? I get it! But what if it\u2019s actually a powerful tool for growth? In this episode, I sit down with nonprofit auditor  Hannah Hugen from Abdo to unpack what an audit  really is and why it\u2019s not nearly as scary as it sounds. Real Listener Question: \u201cWe filed the 1023-EZ and said we\u2019d stay under $50K\u2026 but now a funding opportunity would push us past that. Will the IRS audit us? Should we say no to the money?\u201d Hannah and I dig into what an audit actually involves, what the IRS does (and  doesn\u2019t) care about, and how nonprofits can prepare for growth without panicking. We also talk through the \u201cscary myths\u201d that float around new organizations and the real steps you can take now to avoid future chaos. If you\u2019ve ever wondered what auditors look for, how to document properly, or what GAAP even means, this conversation breaks it down in plain English. What You'll Learn:  What a nonprofit audit actually is When the IRS might look at your organization and why it\u2019s not as dramatic as rumors imply How to show good-faith financial projections from your 1023-EZ Why documentation habits will save your future self The difference between cash and accrual accounting Practical steps to get audit-ready even if you\u2019re small  Bottom line: You don\u2019t need to fear audits \u2014 you just need systems, clarity, and good habits. Your nonprofit deserves room to grow, and the right preparation makes that growth possible without being overwhelmed. Resources from this Episode  Understanding Cash vs. Accrual Accounting: https:\/\/youtu.be\/5tSI1IPBVWk Internal Controls 101: https:\/\/birkenlaw.com\/blog\/internal-controls-101\/ Connect with Hannah on LinkedIn: https:\/\/www.linkedin.com\/in\/hannah-hugen-b0045a1b5\/ Learn about Abdo: https:\/\/abdosolutions.com\/ Previous Episode: How to Fix the Culture of Overwork at Your Nonprofit with Rachel Platt https:\/\/birkenlaw.com\/charity-therapy-podcast\/ct153\/ Episode Transcript:  https:\/\/birkenlaw.com\/wp-content\/uploads\/2025\/12\/CT154HH_Transcript.pdf  Connect with Us  Jess Birken: https:\/\/www.linkedin.com\/in\/jessbirken\/  Listen &amp;amp; Engage  Listen on  Apple Podcasts |  Spotify |  YouTube |  Amazon Music Rate &amp;amp; Review on  Apple Podcasts: Click &quot;Ratings and Reviews&quot; then &quot;Write a Review&quot; Send us your nonprofit questions: https:\/\/birkenlaw.com\/podcast\/#podcast-st  Stay Connected  Sign up for the Birken Law Email list:&amp;nbsp;https:\/\/birkenlaw.com\/signup\/&amp;nbsp;&amp;nbsp; Follow us on&amp;nbsp;Facebory &amp;nbsp;ook, Instagram, Twitter  ","author_name":"Charity Therapy","author_url":"https:\/\/charitytherapy.show\/beon","html":"<iframe title=\"Libsyn Player\" style=\"border: none\" src=\"\/\/html5-player.libsyn.com\/embed\/episode\/id\/39469120\/height\/90\/theme\/custom\/thumbnail\/yes\/direction\/forward\/render-playlist\/no\/custom-color\/88AA3C\/\" height=\"90\" width=\"600\" scrolling=\"no\"  allowfullscreen webkitallowfullscreen mozallowfullscreen oallowfullscreen msallowfullscreen><\/iframe>","thumbnail_url":"https:\/\/assets.libsyn.com\/secure\/content\/197161410"}