ERISA Section 103(a)(3)(C) Audits
New rules are coming for employee benefits plan audits! DOL studies revealed that many limited scope audits failed to meet professional protocols. To rectify these issues, changes are coming for the audit guidelines.
In the updated standards, limited scope audits will now be called 103(a)(3)(C) audits. The biggest change is that auditors will be required to issue an opinion instead of a disclaimer.
These changes will apply to plans ending after December 15, 2021.
What does this mean for your company?
The bottom line is that the CPA who performs your benefit plan audits must be trained in the new 103(a)(3)(C) requirements. Make sure your audits adhere to the latest regulations by working with me, Anne McCaleb, CPA. I'm constantly educating myself on the latest compliance mandates so you can have confidence that your company's audit will be acceptable to the DOL.
Some of the new performance directives include:
- Getting an acknowledgement from management of certain responsibilities related to the financial statements
- Reading the most current plan instrument for the audit period as part of risk assessment
- Determining whether management has performed the relevant IRC compliance tests
- Obtaining a completed Form 5500 and reviewing it for possible inconsistencies with the financial statements
This is just the tip of the iceberg. Request a free consultation now or call me at 916-634-4002 and find out how I can help keep your business compliant with all of the new DOL rules for 103(a)(3)(C).