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401(K) PLAN AUDITS
Solid Benefits Build Successful Futures
Experience matters.
The benefit plan audit requires specialized knowledge and attention. Larson & Company exhibits our commitment to performing high quality audits through our firm membership in the AICPA Employee Benefit Plan Audit Quality Center.
Over the past few years, regulatory agencies have consistently issued new quality standards governing plan investment, management, participant administration and disclosures. Now more than ever you need a firm that specializes in this type of audit. Larson & Company focuses on bringing high quality audits to plan sponsors across Utah. We work with single employer plans with 125 total employees to mature multi-employer plans with thousands of participants. We also provide audit services to plans with SEC 11K filing requirements.
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WHEN IS A 401(K) PLAN REQUIRED TO BE AUDITED?
An audit is required to be performed by a qualified third party CPA firm when certain conditions are met, primarily when total eligible participants reach 100 and the plan is deemed a "large" plan, plans that are required to file Schedule H with the Form 5500. See the decision tree below to assist in determining if an audit will be required.
WHY SHOULD I LOOK FOR AN AUDIT FIRM THAT IS A MEMBER OF THE EBPAQC?
Studies by the Department of Labor of employee benefit plan audits show a much smaller deficiency rate in firms that belong to the EBPAQC than those that do not. This is a very significant factor to consider, given the fiduciary responsibility of the plan sponsor to have a quality audit performed.
I NEED AN AUDIT, WHAT’S NEXT?
First, you will need to determine what type of audit you need - an ERISA Section 103(a)(3)(C) audit or a Non-ERISA Section 103(a)(3)(C) audit.
WHAT IS THE AUDIT FILING DEADLINE?
The audit report must be attached to the Form 5500, so it is subject to 5500 filing deadlines. The 5500 is due seven months after the last day of the plan year, but may be extended for an additional two and a half months.
What documents do I need to gather for a 401(K) plan audit?
Wondering what forms and documents you need to gather for a 401K audit?
Enter your email to receive a free checklist of items for your upcoming employee benefit plan.
free Webinars and Resources for Plan Administrators
Click below for a list of the most recent employee benefit plan trainings from the Larson Employee Benefit Plan Audit team.
