On December 3, 2014 the AICPA Employee Benefit Plan Audit Quality Center issued a Plan Advisory, The Importance of Hiring a Quality Auditor to Perform Your Employee Benefit Plan Audit. The advisory was prepared to provide plan sponsors, plan administrators, and trustees with an understanding of the importance of hiring a qualified auditor to perform their employee benefit plan financial statement audit, and information to help plan sponsors select a qualified auditor. It also outlines the risks that Plan sponsors, as fiduciaries, may face if a quality audit is not performed and the assessment of substantial penalties such audit failures may bring.
In recent years, the Department of Labor (DOL) has increased its enforcement and various reviews regarding the quality of plan audits. The DOL found that firms with limited employee benefit plan audit practices have a higher rate of deficient professional work. In addition, they identified certain factors they believe contribute to whether or not employee benefit plan audits comply with established professional standards. To read more about these factors or download the advisory click here.
Perkins & Co is a member of the AICPA Employee Benefit Plan Audit Quality Center, and we audit more than 65 plans annually. Our high level of expertise means you can be assured our team has the most current technical knowledge and training, awareness of the uniqueness of EBP audits, and the dedication and commitment to perform your audit at the highest quality.
This blog post is a summary and is not intended as tax or legal advice. You should consult with your tax advisor to obtain specific advice with respect to your fact pattern.