What You Need to Know About Employee Benefit Plan Audits

written by Jacque Mattson

These days, candidates are seeking much more than a salary. Offering competitive benefits can make or break your business’ ability to capture the best talent. But constant changes to federal regulations governing compliance continue to become more complex, and the penalties for non-compliance can be harsh. We’re committed to delivering our clients peace of mind, which is why we’ve compiled everything you need to know about employee benefit plan audits.

Playing by the rules

There are multiple entities that govern employee benefit plans, including the Employee Retirement Income Security Act of 1975 (ERISA), which sets the standards for retirement and health plans in private industry. Additionally, the Department of Labor finalized revisions to the 2009 Form 5500 requiring employee benefit plan audits, forcing businesses to undergo an audit of their plan’s financial statements if they have more than 100 eligible participants.

Roll with the changes

Constant changes to regulations governing retirement and benefit plan compliance are complex, which is why your company should conduct annual audits of its employee benefit plan. Partnering with our employee benefit plan auditors, you can receive:

• Timely delivery of a competitively priced high-quality audit
• Practical recommendations on how to fine-tune internal procedures to save your organization’s resources
• An efficient audit conducted with a minimum of client assistance
• Assistance in developing strategies to maximize contributions and position your plan as an employee recruiting and retention tool

Lending a hand

New accounting industry regulations requiring auditor independence have resulted in a trend toward hiring a second CPA firm for benefit plan audits. In addition to auditing clients’ retirement plans, we also work with businesses who use other CPAs for their accounting and tax needs without disrupting that relationship. As your company grows – and emerging benefits continue to evolve – your employee benefit plan might be at risk. Contact The Whitlock Company to find out how to make the most of your plan. Jacque Mattson, CPA, is a Manager at The Whitlock Company, a full-service CPA firm offering a range of professional tax, audit, accounting and consulting services in the Midwest. Learn more at www.whitlockco.com.