Employee Benefit Plans
Employee Benefit Plan audits require technical precision, regulatory awareness, and disciplined execution.
As plan assets grow and participant counts exceed regulatory thresholds, formal audit requirements introduce additional fiduciary responsibilities. These engagements require familiarity with Employee Retirement Income Security Act (ERISA) standards and disciplined audit execution.
At PNF Accountants & Advisors, Employee Benefit Plan audits are delivered with professional discipline and clear coordination with plan sponsors, administrators, and internal teams. Our objective is accurate reporting, organized compliance, and minimal disruption to your operations.
A Specialized Area of Assurance
Employee Benefit Plan audits differ materially from corporate financial statement audits. They operate under distinct Department of Labor and ERISA standards and require focused knowledge of plan operations.
These engagements typically involve review of:
This is not general audit work. It requires familiarity with plan-specific compliance frameworks and disciplined execution.
At PNF Accountants & Advisors, we perform these engagements under established professional standards and with careful attention to both regulatory detail and operational realities.
Technical Competence & Professional Standards
Our Employee Benefit Plan engagements are led by licensed Certified Public Accountants and performed in accordance with established professional standards.
We maintain ongoing familiarity with ERISA requirements and Department of Labor expectations to ensure that each engagement reflects current regulatory guidance.
Professional judgment and attention to detail remain central throughout the process. These audits require consistency, documentation discipline, and technical awareness.
Determining When an EBP Audit is Required
Under ERISA regulations, plans exceeding the 100 eligible participant threshold at the beginning of the plan year are generally required to file an independent audit with their Form 5500.
Evaluating whether this requirement applies involves more than reviewing enrollment counts. It requires careful consideration of plan definitions, prior-year filing status, and participant classifications.
We work directly with plan sponsors to assess reporting thresholds and filing obligations in advance of deadlines. This measured approach supports organized preparation and reduces unnecessary uncertainty.
Types of Employee Benefit Plans We Audit
Employee benefit plans vary in structure, funding mechanisms, and reporting complexity. Our team has experience conducting audits for a range of ERISA-regulated plans, including:
- 401(k) and 403(b) plans
- Profit sharing and money purchase plans
- Defined benefit pension plans
- Health and welfare benefit plans
- Employee stock ownership plans (ESOPs)
- Multiple employer and multi-employer arrangements
- ERISA section 103(a)(3)(C) audits
We are also familiar with plans involving alternative investments, master trust arrangements, and Form 11-K reporting when applicable. Each engagement is tailored to the structure and documentation of the specific plan.
Structured Coordination to Reduce Internal Disruption
We recognize that the most significant cost of an audit is often the time required from your internal team.
Our process is designed to minimize disruption. We work directly with your plan’s recordkeepers, third-party administrators (TPAs), and payroll providers to gather necessary documentation and reduce the burden on your internal staff.
Our approach is designed to:
Minimize time demands on your HR and finance departments
Maintain consistent communication
Avoid last-minute documentation requests
Advanced Analytical Oversight
Our audit procedures are risk-based and designed in accordance with applicable professional standards. We evaluate areas commonly emphasized in ERISA-regulated plan examinations, including:
We evaluate whether employee deferrals are deposited in accordance with Department of Labor (DOL) requirements.
We assess whether compensation components are applied in accordance with the plan document.
We review participant admission and eligibility in accordance with plan provisions.
Proactive Communication & Year-Round Support
If operational discrepancies are identified during the audit process, we communicate all findings clearly and outline available corrective actions according to regulatory guidance.
We remain available to coordinate with plan sponsors and administrators regarding reporting and regulatory questions as appropriate. Throughout the year, our advisory team remains available to discuss:
- Regulatory updates affecting your plan
- Operational changes
- Strengthening internal controls
- Service provider coordination
- ESOP valuation considerations
- Preparation for DOL or IRS examinations
Designed for Growing Organizations
Our Employee Benefit Plan audit services are structured for organizations with expanding workforces and increasing plan participation.
These engagements are typically appropriate for:
As participation and plan assets grow, formal audit requirements become part of responsible plan administration.
Prepare Your Employee Benefit Plan for Compliance
The integrity of your benefit plans reflects your organization’s fiduciary responsibility. An independent EBP audit supports fiduciary responsibility and compliance with applicable ERISA reporting requirements. Our objective is to conduct the audit efficiently while following professional standards.
