Common Concerns When Changing Employee Benefit Plan Auditors

ARTICLE | March 19, 2025

Changing employee benefit plan auditors is a significant decision that can often seem daunting. This article addresses these common concerns and sheds light on the process, focusing on crucial aspects such as transition, cost implications, quality of the new auditor, and compliance risks. We will provide insights on navigating this major shift with minimal disruption to your operations.

Transition and Disruption

One of the main concerns when changing employee benefit plan auditors is the potential disruption to daily operations. The transition process can seem daunting, but it doesn’t have to be. A professional accounting firm with experience in managing seamless transitions can make a world of difference.

The key lies in a well-defined onboarding process that minimizes impact on your daily operations. An efficient auditor will work closely with you from the get-go, setting up a clear timeline and strategy to gather all necessary information efficiently. This involves establishing online auditor access as much as possible with your providers and leveraging advanced software tools to expedite the audit process.

Cost Implications of Changing Employee Benefit Plan Auditors

Cost is always a critical factor in decision-making processes. It’s essential to choose a firm that offers competitive and transparent fee structures without compromising the quality of its audit services. 

Top-notch firms offer value by providing year-round support and consultations at no additional cost. This helps you avoid unforeseen expenses and ensures you receive a high standard of service throughout the year.

Quality and Expertise of the New Auditor

When changing your employee benefit plan auditors, the quality and expertise of the new auditor cannot be taken for granted. You need a firm that specializes in employee benefit plan audits and brings a wealth of knowledge and expertise to every audit it undertakes.

A dedicated EBP team working with a diverse range of plans year-round ensures that the quality of service is top-tier. Staying updated with the latest regulatory changes is crucial to ensure compliance and thoroughness in every audit.

Compliance and Regulatory Risks

The complex regulatory environment of employee benefit plans can be challenging to navigate. This is where the expertise of your new auditor plays a pivotal role. A team well-versed in DOL, ERISA, and IRS regulations can help mitigate risks and protect your plan from potential issues.

Compliance should be a priority in every step of the audit process. A proactive approach includes keeping you informed of any changes in legislation that could impact your plan.

So, while changing employee benefit plan auditors can seem daunting, it can be managed efficiently with the proper guidance and understanding of the process. Remember, the key components to consider during this transition are disruption management, cost implications, the quality of the new auditor, and understanding compliance and regulatory risks. With a professional and experienced firm, you can ensure a smooth transition and continued high-quality service.