Employee Benefits Plan Audits
Too often considered simple and routine, government-required benefit plan audits are anything but simple, and when things go wrong, the result can be serious tax liabilities, disqualified plans, disgruntled employees and personal fiduciary liabilities for plan trustees. According to the US Department of Labor, this happens all too frequently. It finds roughly one third of all benefit plan audits to be so seriously flawed that the plan’s sponsor is required to perform additional procedures or simply redo the entire audit.
The professionals of KFMR are experts in providing employee benefit plan audits. We have the knowledge and experience to perform both a limited scope audit as well as a full scope audit of qualified plans. KFMR is also a member of the AICPA’s Employee Benefit Plan Audit Quality Center. The Employee Benefit Plan Audit Quality Center provides a forum for best-practices, timely and relevant updates, and other resources.
Instituted in March 2004, membership in the Center demonstrates KFMR’s commitment to audit quality in the area of employee benefit plan audits. In addition to satisfying government requirements the first time, our auditors can identify problem areas and troubled plans, and provide solutions before those problems result in significant sanctions. We keep you informed of regulatory changes and other significant events that impact your plan’s audit. In doing so, we minimize potential risks, both financial and regulatory, to the plan and the plan’s trustees.
Once the audit is complete, we go one step further to verify the discrimination testing, review the Form 5500 and appropriate Schedules for accuracy, and verify that the Schedule H ties to the audit report. We then furnish you a submission package for the EBSA/DOL which includes a letter of filing instructions, the original audited financial statements, Form 5500 and Schedules along with a bound copy of all materials for your records.