What is a virtual CPA?

A virtual CPA provides the same services as a traditional CPA firm — tax preparation, bookkeeping, audits, financial planning — but delivers them remotely using secure cloud technology. You get expert-level service without visiting a physical office.

How much do virtual CPA services cost?

Pricing depends on the complexity of your financial situation and the services you need. We provide transparent fee estimates during your initial consultation. Virtual CPA firms typically have lower overhead than traditional firms, which translates to more competitive rates.

Do I need an audit for my nonprofit?

Many states require nonprofits to have an independent audit once they exceed certain revenue thresholds, often $500,000-$750,000. Grant-making organizations and government agencies frequently require audited financial statements. We can help determine your specific audit requirements.

What is the difference between an S-Corp and an LLC for tax purposes?

An LLC provides liability protection and pass-through taxation by default. An S-Corp election can provide additional tax savings by allowing owners to split income between salary (subject to payroll taxes) and distributions (not subject to payroll taxes). The right choice depends on your income level, business structure, and state tax laws.

What does a virtual CFO do?

A virtual CFO (fractional CFO) provides high-level financial strategy and oversight on a part-time basis — budgeting, forecasting, cash flow management, financial analysis, KPI reporting, and strategic financial planning. You get C-suite financial leadership without the full-time cost.

Can you help if I'm behind on bookkeeping or taxes?

Yes. We offer catch-up bookkeeping services to bring your books current and can help resolve back tax issues including IRS notices, unfiled returns, and payment plans.

What accounting software do you work with?

We work with QuickBooks Online, Xero, FreshBooks, Wave, and other major cloud accounting platforms. We can also help you select and set up the best software for your business.

How do I prepare for tax season?

Organize financial records throughout the year, keep receipts for business expenses, track mileage and home office usage, make quarterly estimated tax payments, and schedule a year-end tax planning session before December 31.

What is DCAA compliant accounting?

DCAA (Defense Contract Audit Agency) compliant accounting is a system that meets federal government requirements for contractors. It includes proper timekeeping, job cost accounting, indirect cost allocation, and specific internal controls required for government contract work.

Do I need a CPA or a bookkeeper?

Bookkeepers handle day-to-day recording of financial transactions. CPAs handle higher-level work — tax planning and preparation, audits, financial analysis, and strategic advice. Many businesses need both. Our firm provides both services so you have one team managing everything.

What's the difference between an audit, review, and compilation?

An audit provides the highest level of assurance through independent verification of financial statements. A review provides limited assurance through analytical procedures and inquiries. A compilation presents financial information in statement format without assurance. The right choice depends on your stakeholders' requirements.

Do you serve businesses outside the DMV area?

Yes. While our primary service area is Washington DC, Maryland, and Virginia, we serve clients nationwide through our 100% virtual model. Our cloud-based systems allow us to work with businesses anywhere in the United States.

Does CDBG funding from my county trigger a Single Audit?

Yes. CDBG funds from your county are federal awards (passed through from HUD → county → your organization). They count toward your $1,000,000 Single Audit threshold. Your sub-award agreement should identify the federal CDBG program and ALN (14.218 or 14.228). The county is your pass-through entity and is required to monitor your compliance.

What is the HOME program affordability period and how does it affect audit compliance?

HOME units must remain affordable for periods ranging from 5 to 20 years depending on the type of assistance (rental rehabilitation, new construction, homebuyer). During the entire affordability period, the housing nonprofit must maintain tenant income eligibility and rent limit compliance — and this compliance is subject to audit throughout that period, not just the year funds were expended.

What documentation must we maintain for Section 8 voucher compliance?

Housing Choice Voucher (Section 8) landlords and administrators must maintain: executed HAP (Housing Assistance Payment) contracts, Housing Quality Standards (HQS) inspection reports, tenant income and rent calculation worksheets, and payment records. HQS inspections are required at move-in and annually thereafter.

What are the most common findings in HUD program audits?

Top findings include: (1) tenant income documentation failures — missing or incomplete income verification for HOME and Section 8 participants; (2) procurement violations — failure to conduct competitive bids for purchases over $10,000; (3) time and effort documentation — inadequate payroll documentation for grant-funded staff; (4) allowable cost issues — expenses charged to CDBG or HOME that don't meet program eligibility criteria.

What is the HUD Consolidated Audit Guide?

The HUD OIG's Consolidated Audit Guide supplements the OMB Compliance Supplement with HUD-specific audit procedures for each major HUD program. It provides specific testing procedures for eligibility determination, rent calculation, housing quality standards, and other program requirements. Our auditors are trained in current HUD Consolidated Audit Guide requirements.

Can we appeal a HUD audit finding?

Yes. Organizations have the right to respond to draft audit findings before the final report is issued. After the final report, the program office issues a management decision. Organizations can appeal management decisions through HUD's formal process. Our team can help you prepare technical responses to contested findings.

How much does a HUD/housing nonprofit Single Audit cost in DC/MD/VA?

Housing nonprofit Single Audits typically range from $15,000 to $40,000 depending on the number of HUD programs, total federal expenditures, number of major programs requiring compliance testing, quality of books, and organizational complexity. We provide fixed-fee quotes after reviewing your federal award portfolio.

HUD & Housing Nonprofit Audit

HUD & Housing Nonprofit Audit Services — DC, Maryland & Virginia

What audit is required for housing nonprofits receiving HUD funding?

Housing nonprofits receiving $1,000,000 or more (raised from $750,000 effective for fiscal years beginning on or after October 1, 2024) in HUD federal awards must complete a Single Audit under 2 CFR Part 200 (Uniform Guidance). HUD grants — including CDBG, HOME Investment Partnerships, Section 8 housing assistance, and HOPWA — all count toward the federal award threshold. The HUD Consolidated Audit Guide specifies additional compliance requirements for each program.

HUD Compliance Challenges We Solve

"We receive CDBG funds through our county and didn't know it triggers Single Audit"

Community Development Block Grants passed through state and local governments to housing nonprofits are federal awards that count toward the $1M Single Audit threshold. Many nonprofits receiving county or city CDBG sub-awards don't realize they're subject to federal audit requirements.

"Our HOME program audit found tenant income eligibility documentation failures"

Tenant income eligibility documentation is the most common HOME program finding. Annual income recertification, source documentation (pay stubs, tax returns), and rent calculation worksheets must be maintained for each HOME-assisted unit throughout the affordability period.

"HUD OIG is reviewing our Section 8 contracts and we need representation"

HUD Office of Inspector General (OIG) reviews and investigations require immediate engagement of CPAs with HUD audit experience who understand the specific compliance requirements for each HUD program.

"We're a CDC developing affordable housing — what audit do we need at closing?"

Community Development Corporations (CDCs) often face audit requirements at real estate closing (construction draws, cost certifications), annually during operations, and at project completion. Each phase has different requirements.

"Our LIHTC project has a HUD contract and the compliance requirements overlap confusingly"

Low-Income Housing Tax Credit (LIHTC) projects with HUD financing face both IRS LIHTC compliance and HUD audit requirements simultaneously. Understanding which requirements apply at each level is complex.

Receive HUD funding? Let's review your audit obligations.

We'll inventory your HUD programs, calculate your federal award threshold, and give you a fixed-fee quote for the complete audit package.

Key HUD Program Definitions

HUD Consolidated Audit Guide: The HUD OIG's Audit Guide for Audits of HUD Programs that provides specific audit procedures for each major HUD program. It supplements 2 CFR 200 Appendix XI (formerly Circular A-133 Compliance Supplement) with HUD-specific compliance requirements.

CDBG (Community Development Block Grant): Federal HUD grants administered by states and entitlement communities (cities and counties over certain population thresholds) for community development activities. CDBG sub-recipients must track how funds are used for eligible activities, ensure benefit to low-to-moderate income persons, and maintain documentation for compliance audits.

HOME Investment Partnerships Program: A HUD program providing grants to states and localities to fund affordable housing activities. HOME requires annual income eligibility certification for tenants, rent limit compliance, and property standards inspections. Sub-recipients of HOME funds are subject to the program's compliance requirements and Single Audit if $1M+ is expended.

Major HUD Programs — Compliance Requirements

Feature	HUD Program	ALN Number
CDBG	14.218 / 14.228	Eligible activities, national objectives, procurement, T&E
HOME	14.239	Tenant income eligibility, rent limits, affordability periods, inspections
Section 8 (Vouchers)	14.871	Rent calculation, HQS inspections, HAP contract compliance
HOPWA	14.241	Eligibility documentation, housing standards, case management
CoC (Continuum of Care)	14.267	HMIS data quality, point-in-time count participation, lease terms
Public Housing	14.850	Rent calculation, energy performance, capital fund compliance

Our HUD Audit Process

Program Identification

We identify all HUD programs in your portfolio, confirm ALN numbers, calculate your total federal award expenditures (SEFA), and determine major program status under 2 CFR 200.

Financial Statement Audit

We conduct the GAAS/GAGAS financial statement audit, including testing of net asset classifications, grant revenue recognition, and restricted fund accounting.

HUD Program Compliance Testing

For each major HUD program, we test the 12 compliance types plus HUD-specific requirements from the Consolidated Audit Guide: tenant income eligibility, rent calculations, housing quality standards, and program-specific requirements.

Internal Control Testing

We evaluate internal controls over HUD program compliance, including tenant file documentation controls, procurement procedures, and financial monitoring systems.

Reporting & FAC Submission

We issue all required GAGAS and Single Audit reports, prepare the Data Collection Form (SF-SAC), and submit the complete audit package to the Federal Audit Clearinghouse within the required 9-month deadline.

Serving DC, Maryland & Virginia Housing Nonprofits

DC housing nonprofits work primarily with DHCD (DC Department of Housing and Community Development) and DC Housing Finance Agency — both pass through significant HUD and federal HOME funds. Maryland housing nonprofits interact with Maryland Department of Housing and Community Development (DHCD) and local CDBG entitlement communities (Montgomery County, Prince George's County, Baltimore City). Virginia housing nonprofits work with Virginia Housing, DHCD, and local entitlement communities (Arlington, Fairfax, Alexandria, Richmond).

Related Services

Nonprofit Audit Services Single Audit (2 CFR 200)Government Contractor Audit Grant Compliance Audit

Frequently Asked Questions

Expert HUD Audit Support for DC/MD/VA

Fixed-fee Single Audit and HUD program compliance services for housing nonprofits. We handle everything from SEFA preparation to FAC submission.