At 401(k) Plan Audit CPA, we’ve developed a proven 401(k) audit process that ensures efficiency, compliance, and clarity for plan sponsors. Our step-by-step approach minimizes disruption for your HR and finance teams while delivering a thorough, independent audit that meets all Department of Labor (DOL) and IRS requirements.
Process
Our 401(k) Audit Process
Why the Audit Process Matters
A 401(k) plan audit isn’t just about checking a box for compliance—it’s about ensuring that your retirement plan is being managed properly and that participant funds are protected. By following a clear process, we help plan sponsors:
- Reduce fiduciary risk
- Identify and correct compliance issues early
- File Form 5500 with confidence
- Improve plan operations over time
Step-by-Step 401(k) Audit Process
Step 1 – Planning & Document Collection
We start by gathering key plan documents, including plan descriptions, financial statements, payroll records, and service provider reports. Our team reviews your plan structure and identifies the specific requirements for your audit.
Step 2 – Compliance Testing
We perform detailed testing of plan activity, including:
Employee and employer contributions
Participant eligibility and enrollment
Distributions and loans
Timeliness of contributions
Internal controls and plan operations
This ensures your plan is compliant with DOL, IRS, and ERISA rules.
Step 3 – Financial Review
Our auditors examine the plan’s financial statements, investments, and related disclosures. We ensure accuracy, transparency, and compliance with reporting standards.
Step 4 – Audit Report Preparation
We prepare the formal audit report required for your Form 5500 filing. Our report provides a clear, independent assessment of your plan’s compliance and financial condition.
Step 5 – Filing & Ongoing Support
We coordinate with your team to finalize and file the audit report alongside Form 5500. Beyond the audit, we provide recommendations to strengthen compliance and support your plan’s long-term success.
The Benefits of Working With Us
Specialized 401(k) Plan Expertise
Unlike general accounting firms, we focus on benefit plans.
Risk Reduction
We identify compliance gaps before they become costly issues.
Time & Cost Savings
Our streamlined process minimizes disruption for HR and finance teams.
Trusted Advisors
We don’t just audit—we guide and consult for long-term success.
Nationwide Service
Supporting businesses of all sizes and industries.
Industries We Serve
We work with a diverse range of high-net-worth individuals and businesses across multiple industries, including:
Healthcare Organizations
Healthcare providers often face complex payroll structures, multiple benefit plans, and strict compliance requirements.
Technology Companies
Tech firms with fast-growing workforces often struggle with eligibility tracking and timely filings.
Manufacturing & Industrial Firms
Manufacturing companies often manage high employee turnover and complex contribution structures.
Professional Services Firms
Law firms, accounting firms, marketing agencies, and other service providers need reliable compliance support to avoid client-facing disruptions.
Frequently Asked Questions (401k Plan Audit FAQ)
Who needs a 401(k) plan audit?
Any plan with 100 or more eligible participants must generally undergo an annual independent audit.
What is Form 5500 and why is it important?
Form 5500 is a required filing that details your plan’s financial condition, operations, and investments. It’s key to maintaining compliance with DOL and IRS rules.
What are the penalties for late or incorrect Form 5500 filing?
Penalties can exceed $250 per day and add up quickly. Professional preparation helps you stay on track.
How do I choose the right employee benefit plan auditor?
Look for a CPA firm that specializes in employee benefit plan audits, has industry experience, and maintains strong communication throughout the process.
Can you help with smaller plans not yet requiring audits?
Yes—we provide 401(k) consulting to help smaller plans stay compliant and prepared as they grow.
Schedule Your 401(k) Audit Consultation Today
Don’t leave compliance to chance. At 401(k) Plan Audit CPA, we specialize in 401(k) audits, Form 5500 preparation, and employee benefit plan consulting. Whether you’re preparing for your first audit or managing a large retirement plan, our CPAs provide the expertise and peace of mind you need.
