How to Choose the Right Employee Benefit Plan Audit Firm

ARTICLE | January 20, 2026

You already know that your annual employee benefit plan audit isn’t optional. It’s a federal requirement. But here’s what many HR managers and benefits administrators don’t fully appreciate: the quality of that audit can mean the difference between smooth compliance and costly Department of Labor (DOL) penalties, operational inefficiencies, and sleepless nights wondering if your plan’s financial integrity is truly protected.

Selecting the right employee benefit plan audit firm isn’t just about checking a compliance box. It’s about finding a partner who understands the unique complexities of employee benefit plans and can deliver insights that strengthen your plan’s operations. Unfortunately, not all CPA firms are created equal in this specialized area. The DOL consistently finds that many employee benefit plan audits are deficient, often because auditors lack the specific training and experience required for this type of work.

So, how do you identify an employee benefit plan audit firm that will truly serve your organization well? Here are the critical factors to consider.

Specialized Expertise and Training

Employee benefit plan audits require knowledge that extends far beyond general accounting principles. The areas unique to employee benefit plan audits include participant data accuracy, plan obligations, contribution calculations and timing, benefit payment compliance, and identification of prohibited transactions under ERISA. These aren’t areas that generalist auditors typically encounter in their day-to-day work.

When evaluating potential audit firms, ask directly about their team’s specialized training in employee benefit plans. How many hours of employee benefit plan-specific continuing education do their auditors complete annually? Do they have in-house expertise on ERISA regulations, DOL compliance requirements, and IRS qualification rules? A qualified firm should be able to demonstrate a genuine commitment to staying current with legislative changes and industry developments that could impact your plan.

Meaningful Experience and Track Record

Here’s a revealing question to ask any prospective auditor: What percentage of your audit practice is devoted to employee benefit plan work? The answer matters more than you might think. The DOL has noted a clear correlation between firm size and audit deficiencies, with firms having 20 or fewer employees responsible for nearly two-thirds of deficient audits reviewed. Often, smaller firms treat employee benefit plan audits as seasonal work, assigning staff who spend most of their time on tax preparation to conduct plan audits during the summer months.

You want an employee benefit plan audit firm that views this work as a core specialty, not a side project. Ask how many plan audits they’ve completed in the past two to three years and request references from similar organizations. The firm should have audit professionals whose primary focus is on audit standards and quality, ideally with team members dedicated specifically to employee benefit plan engagements.

Professional Certifications and Quality Controls

Membership in the AICPA Employee Benefit Plan Audit Quality Center (EBPAQC) is a strong indicator of a firm’s commitment to this specialized field. The EBPAQC requires compliance with rigorous standards and practices specific to employee benefit plan audits, demonstrating both technical competence and professional dedication.

Beyond membership, inquire about the firm’s peer review results. CPA firms that belong to the AICPA must have their practices reviewed by an outside firm every three years. Ask to see the peer review report letter and confirm the firm received a “pass” rating. Also, ask how many employee benefit plan audits were selected during the review process and what the outcomes were. If the firm audits public companies that file Form 11-K with the SEC, they’ll be subject to inspection by the Public Company Accounting Oversight Board (PCAOB). Request to see the public portion of that report as well.

Value Beyond Compliance

A quality audit should do more than produce a clean opinion letter. It should provide genuine value to your organization. The right employee benefit plan audit firm will evaluate your plan’s internal controls over financial reporting, identify control weaknesses or operational errors, and offer practical recommendations for improvement. They should help you understand complex regulatory requirements and alert you to potential issues before they become serious problems.

During the selection process, ask how the firm approaches client communication and advisory services. Will you have direct access to experienced professionals who can answer questions throughout the year, or will your calls be routed to junior staff? Does the firm proactively share insights about industry trends and regulatory changes that might affect your plan? The best audit relationships extend well beyond the annual filing deadline.

Making the Right Choice

As a plan administrator, you are legally responsible for ensuring that your plan’s financial statements are properly audited in accordance with Generally Accepted Auditing Standards. This represents significant risk, and cutting corners on audit fees can prove far more expensive in the long run if you end up with a deficient audit, operational problems that go undetected, or DOL penalties for incomplete or inadequate reporting.

At Insero Advisors, we’ve built our employee benefit plan practice on the understanding that our clients need more than basic compliance. With more than 50 years of experience serving growth-focused companies, we bring the technical depth, specialized training, and proactive approach that plan administrators need to fulfill their fiduciary responsibilities with confidence. Our team includes professionals dedicated specifically to employee benefit plan audits who stay current with evolving regulations and bring value-added insights to every engagement.

Choosing the right employee benefit plan audit firm is one of your most important fiduciary decisions. Take the time to ask the right questions, verify credentials, and select a partner who will protect your plan’s financial integrity while helping you operate more efficiently. Contact us today to discuss how Insero can support your audit needs.