A 401k audit is a critical process designed to ensure the compliance and accuracy of an organization's employee benefit plan. Employee benefit plans, including 401k plans, are subject to regulatory requirements imposed by the Employee Retirement Income Security Act (ERISA). Conducting a thorough audit is not only a legal requirement for plans with over 100 eligible participants but also a strategic measure to safeguard the financial well-being of plan participants and maintain the plan's integrity.
Mistakes That Trigger a 401k Audit Being subject to an IRS audit can be an unnerving experience, so it’s understandable that organizations would want to prevent one. Benefit plan administrators should do what they can to avoid 401(k) audit mistakes and ensure that their plans are in … Read More
The U.S. Department of Labor is increasing its scrutiny of certain retirement plans, and fines are high for non-compliance. Federal law requires most employers who manage benefit plans with 100 or more participants to complete an annual audit. This results in many small and mid-sized companies … Read More
When planning for an audit of your 401(k) or other retirement plan, you might question if a full scope audit or limited scope audit should be conducted. It is important to determine if your plan requires an audit, and know your options. Failure to comply with audit requirements can lead to a host … Read More
An employee benefit plan audit can feel like an immense undertaking. The rules and regulations are complicated and the process can be time-consuming and tedious. In 1974, the federal government passed the Employee Retirement Income Security Act (ERISA) to protect the investments of employees who … Read More
As a company grows, it will experience many milestones, among which is its first 401k audit. As set by the United States Department of Labor (DOL), a 401k plan should be audited when it becomes a large plan. A large plan is considered to have at least 100 eligible participants on the first day of … Read More