403(b) Audits

What is a 403(b)?

A 403(b) tax-sheltered annuity plan is a retirement plan offered to employees of educational institutions, government agencies, and non-profit organizations. The 403(b) plan shares many of the same characteristics and benefits of a 401(k) Plan.

Do we need a 403(b) Audit?

Previously companies that offered a 403(b) plan were not required to complete Form 5500, the “Annual Return/Report of Employee Benefit Plan”. Now, companies offering 403(b) plans that have 100 or more participants are required to send in Form 5500 with an audited financial statement.

Additionally, audits of 403(b) plans are now required by the Employee Income Security Act (ERISA) in order to protect plan participants. Audits of 403(b) plans ensure that the plan is being properly administered and that participants are receiving the benefits which they are entitled to.

It is important that all 403(b) plans meet the General Accepted Account Principles (GAAP) and are in compliance with ERISA. To find out if your company is required to have a 403(b) plan audit or for more information regarding audits of 403(b) plans please contact us and speak to a member of our Audit Team.

For more information on 403(b) plans please visit the AICPA Accounting and Auditing Resource Center

 AgeeFisherBarrett, LLC is a member of:
AICPA, PCAOB, GSCPA, LISA, ISACA , SOFE

For a free consultation call (404) 250-4570