Nonprofit Revenue Recognition: Back to the Basics

Overview

Entities participating in federal programs must understand significant changes in the 2024 Single Audit Compliance Supplement to ensure compliance, optimize funding utilization, and maintain eligibility for future awards. Phil Marciano, Partner at Citrin Cooperman, explains key strategies for adapting to these updates, focusing on increased thresholds for audits, enhancements to internal controls’including cybersecurity measures’and adjustments to program income usage. He also addresses the adjusted de minimis indirect cost rate and the importance of timely audit submissions to maintain low-risk auditee status.

Highlights

• Understanding revenue recognition core principles
• Distinguishing exchange transactions and contributions
• Applying the five-step recognition model
• Identifying performance obligations in contracts
• Accounting for conditional and unconditional contributions
• Recognizing revenue over time or point-in-time
• Using practical examples for better clarity

Objectives

• Understand the difference between exchange transactions and contributions.
• Learn the 5-step process for recognizing exchange transactions.
• Explore examples of revenue transactions for not-for-profit entities.

Notice

This is a self-study/on demand course offered by a 3rd party vendor and will NOT be accessible in the My Upcoming CPE section of the ISCPA website. Course access information will be emailed directly to you by CalCPA. The course expires one year from the purchase date. Format = Online Self-Study.