The Importance of Obtaining a Quality Audit

On November 16, 2015, the Department of Labor’s (“DOL”) Office of Chief Accountant sent an e-mail to all plan administrators of plans which are required to have an annual financial statement audit alerting them of the importance of obtaining a quality audit from a qualified and experienced CPA firm. This is primarily in response to …

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Do I need an audit?

As a sponsor of an employee benefit plan, along with annual reporting requirements, you may be required to undergo an audit of your plan’s financial statements. What are the reporting requirements and what triggers an audit? This varies depending on the type and size of the plan you sponsor. One participant plans (a business owner …

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EFAST2 Form 5500/5500-SF Filing Search

The Employee Retirement Income Security Act of 1974 and provisions of the Internal Revenue Code require certain employee benefit plans to submit information on their size, funding, operations, and other characteristics on an annual basis.  For the plan years 2009 to date all of these filings are stored electronically and can viewed through the EFAST2 …

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Audit Requirements for Terminated Plan

As 401(k) auditors we are frequently asked “How long does a company have to have an audit for a plan that is terminated?”  Unfortunately as companies struggle during these tough economic times, plans are being terminated both as an effort to save costs or because the company has closed its doors.  As part of the …

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Filing status of returns/reports submitted through the EFAST2 system

As we approach the upcoming heavy filing season for Form 5500 (or Form 5500-SF), and the second year under the requirement to file these returns using the electronic EFAST2 system, it is important to understand the various filing statuses to monitor the status of your submission. Users of the EFAST2 system can expect to encounter …

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Footnote Disclosures

Another year end has passed and now you are probably compiling and sending the 401(k) files to your third party administrator for them to complete their compliance testing, and other plan financial reports.  Many of these documents will then be requested by your 401(k) plan auditor.  Additionally your auditor will be requesting other Plan documents …

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Non-Exempt (Prohibited) Transactions & Financial Statement Disclosure

Has your 401(k) Plan recently been audited by the “Employee Benefits Security Administration” of the U.S. Department of Labor?  If yes, have they identified any Non-Exempt (prohibited) transactions? For detail on what constitutes a Non-Exempt (prohibited) transaction, please review “Instructions for Schedule G” Form 5500, Financial Transaction Schedules” of the Instructions for Form 5500 – …

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What Does it Mean if Your Form 5500 is Late?

As the October 15th deadline looms closer, many of our clients are asking the question; “What does it mean if our Form 5500 is late?”  If you haven’t looked into this question before, you will be surprised at the substantial penalties that can be assessed.  The DOL takes failure to file return/reports very seriously.  Below …

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Have You Filed Your Form 5500?

How to file The July 31st filing deadline has come and gone. Did you file an extension? If you’re not sure, check with your TPA.  We are just one month away from the extended filing deadline, October 15th. Have you filed yet? Beginning January 2010, all Form 5500’s are required to be submitted online through …

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Do You Still Need a 401k Audit?

It’s 5500 season again and now the big question is upon you: Do you need to have an audit performed and an audit opinion attached to your 5500 before you send it in? Most people know that the general rule is that if you have fewer than 100 participants in the plan, you are considered …

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