Art of the Qualified Plan Audit

Posted By: Maria Hurd, CPA There is Always Room for Improvement: Proposed Revisions to Form 5500 On September 14, 2021, the U.S. Department of Labor (DOL), the Internal Revenue Service (IRS), and the Pension Benefit Guaranty Corporation (PBGC) (together “Agencies”) jointly announced a tri-agency notice of proposed forms revisions to the Form 5500 Annual Return/Report … Continued

Posted By: Saaib T. Uppal, CPA, QKA IRS Announces Increases on Benefits and Contributions Dollar Limitations for 2022 The IRS has announced cost-of-living adjustments that should be noted for retirement planning purposes.   Below is a chart that outlines employee benefit plan limits for 2022   Plan Limits   RETIREMENT & SOCIAL SECURITY 2022 Limit … Continued

In Summary Requirement for the Independent Audit: The Employee Retirement Income Security Act (ERISA) mandates that large retirement plans, generally those with 100 or more participants at the beginning of the plan year, must have their financial statements audited. These audited statements are required to be attached to the Schedule H of the annual Form … Continued

Is your auditor a Jack of all trades, but a master of none?

When I was a Teaching Assistant in College, group projects would inevitably result in complaints that some students were not pulling their weight.

Posted By: Maria T Hurd, CPA, RPA Improved EPCRS : More Self-Correction Options Inside the Box Perfection is aspirational, especially when it comes to retirement plan administration. That is why 30 years ago, in 1991, the IRS created the EPCRS (Employee Plan Compliance Resolution System), a mechanism for plan sponsors to fix mistakes. Compliance with … Continued

Posted By: Maria Hurd, CPA, RPA What Do You Check to Indicate Your Client’s Auditor Performed a Limited Scope Audit On Your Mark, Get Set, GO!, Or Don’t Go….It’s Up to You! The AICPA postponed the mandatory effective date of the new audit standard, SAS 136, until next year, but the DOL had already updated … Continued

In Summary Conflict Exists in Reporting Standards: Discrepancies arise because auditors must adhere to their financial reporting framework (GAAP/FinREC), which often clashes with the cash basis accounting required by the DOL/IRS 5500 instructions, particularly concerning the netting of corrective contributions versus reporting them as a cash-basis expense on line 2f. Auditors and TPAs Must Follow … Continued

In Summary Auditor Selection Responsibility: Plan sponsors must evaluate the qualifications of the CPA firm hired for a retirement plan audit, a challenging task given the complexity of the work. The Department of Labor (DOL) and AICPA provide resources to assist in this selection, emphasizing that the size of an audit practice and its commitment … Continued

  Maria Hurd, CPA, RPA, Christopher Ciminera, CPA, QKA,  and many members of our employee benefit plan audit team are highly sought after for speaking events. Here are a few upcoming speaking events that we thought you might be interested in attending. APRIL 19, 2021: Death, Taxes, and Retirement Plan Operational Failures – On April … Continued