What Is the Yellow Book? Government Auditing Standards and CPE
Auditors who work with government funds encounter a document called the Yellow Book — formally, Government Auditing Standards (GAGAS), issued by the U.S. Government Accountability Office (GAO). It sets the standards for audits of federal awards and government entities, and it carries a distinct continuing-education requirement.
Who must follow it
Auditors performing engagements under GAGAS — including single audits of entities that spend federal award dollars — must meet the Yellow Book CPE rule, in addition to their state board and any other requirements.
The 80/24 CPE requirement
- 80 hours every two years of CPE that enhances professional competence.
- Of those, at least 24 hours must be in subjects directly related to government auditing, the government environment, or the specific/unique environment in which the audited entity operates.
- A minimum number of hours must be earned each year of the two-year period.
Practical notes
The 24-hour “government” portion is the piece auditors most often scramble to satisfy. Plan governmental-specific CPE (GASB updates, single-audit/Uniform Guidance, government financial reporting) early in the cycle. Keep documentation tying each course to the Yellow Book categories, since single-audit quality reviews check it.
