Audit of Employee Benefit Plan
Large employee benefit plans, defined by the IRS and DOL as plans with more than 100 eligible participants (or 120 if the 80-120 rule can be applied to the plan), are required to have an annual compliance audit of the financial statements that accompany the Form 5500 filing. The Form 5500 is required by the DOL to be filed annually for pension and benefit plans.
Employee benefit plan audits play an important role in proving that the plans are under proper management and funds of the employees are being properly invested, and allocated. If the employer offers any form of matching, monitoring to make sure funds are matched properly will also take place.
At EC Barrett, LLC, we perform audits on defined contribution plans (401k and profit-sharing plans), defined benefit plans (pension plans), employee stock ownership plans, and 403(b) tax-sheltered annuity plans offered to employees of educational institutions. Our goal is to perform an efficient audit and to minimize expense to the plan participants while performing an effective and compliant audit in accordance with accounting principles generally accepted in the United States of America. EC Barrett, LLC maintains our membership with the AICPA’s Employee Benefit Audit Quality Center to ensure our audits are in compliance with the rules and regulations of the DOL.