The Department of Labor (DOL) requires an ERISA pension audit for all “large” pension plans, those with over 120 participants. Not only should the auditor you hire help you to meet the audit requirement but they should also add value to through financial and operational suggestions. New regulations require plan sponsors to have a documented annual review of the fund line up (how are funds performing, cost ratios, do these funds still fit within our investment parameters), cost analysis of all parties (TPA, fund provider, auditor), and participation rates (new enrollees, average contribution per participant). This article from an ERISA attorney highlights “The Top 10 Major Misconceptions Plan Sponsors Have About Their Retirement Plans”. If you are a trustee or plan administrator this information is worth five minutes of your time!
For more information about how LSL CPAs can add value to your pension audit or if you need assistance with new DOL regulations please call LSL CPAs Pension Audit Department at 714.569.1000
By, Christopher Stumpf