Finding the Right Auditor to Prepare your 401k Audit

Finding the Right Auditor to Prepare your 401k Audit

It is required by Federal Law for 401k plans with over 100 eligible participants to conduct an annual 401k audit. All businesses with a 401k plan or profit sharing plan are obligated to file Form 5500. If it is necessary for your company to have an audit, one of the most vital responsibilities of the plan administrator is to hire a qualified accountant. There is much to consider when selecting an auditor for your plan. Legally it is required that an auditor for a 401k audit is a licensed public accountant. To ensure that the auditor you hire holds a valid up-to-date license you can verify their credentials with the State regulatory authority.

Another important characteristic to consider when looking for an auditor is their experience with employee benefit plans. Simply put, hire an experienced auditor. Failure of the auditor to perform tests in areas unique to employee benefit plan audits has resulted in many cases of improper reporting. The more training and experience that an auditor has, the more familiar the auditor will be with plan practices and operations.

For a quality 401k audit, select Miller Kaplan Arase

As the regulations governing 401k plans become increasingly complex, the need for an experienced auditor increases. At Miller Kaplan Arase, our years of experience with employee benefit plans, not only help us when it comes to making the audit more efficient, but it helps you by making the 401k audit more cost effective.

If you have any questions about our 401k audit services or would like to request a proposal, contact us online or call us directly at (818)769-2010.