AUDIT AND ACCOUNTING
Every business is different, even those within the same industry. Therefore, we design each engagement plan based on the facts and circumstances specific to your organization. We communicate with you from the beginning of the planning phase of each engagement through the delivery of our final reports so that you are informed, and know what to expect every step of the way. We use only experienced staff on our engagements which promotes efficiency and often lends itself to identifying valuable business recommendations. We invest heavily in the training of our professionals, and in the resources they need in order to perform your work accurately and efficiently.
In staffing your engagement, we will assemble a team of service professionals with industry and service experience relevant to your engagement. We understand that having a review or an audit performed represents a disruption to your normal operating routine. Therefore, we follow the practice of keeping the same staff assigned to your engagement from year-to-year to minimize that disruption.
FL&S provides a complete range of audit and accounting services, including the following:
- Financial statement audits
- Audits under the Uniform Guidance (previously A-133 compliance based audits)
- Employee Benefit Plan audits under ERISA
- Overhead rate audits
- Reviews and Compilations
- Other Assurance / Advisory Services
Financial statement audits
Outside parties often request independent verification that internally prepared financial statements accurately portray a company’s true financial picture. Audits performed in accordance with Generally Accepted Auditing Standards provide the highest level of assurance an independent CPA firm can provide (an audit opinion). FL&S performs financial statement audits for clients in a variety of industries. At FL&S, our audit team has worked together for years and has developed a system of communication to ensure the audit process is as efficient as possible. We add value by providing your organization with a management letter offering recommendations and suggestions for promoting operating efficiency and maximizing results.
Audits under the Uniform Guidance (previously A-133 compliance based audits)
Audits under the Uniform Guidance (previously OMB A-133 compliance audits) audit will need to be performed if your non-profit Organization spends $750,000 or more of federal funds during the year. Our team understands the special audit and reporting requirements specific funding received under the Uniform Guidance. We have extensive experience in performing audits of governmental and other nonprofit organizations; particularly audits performed in accordance with Governmental Auditing Standards required by the Uniform Guidance . Our firm is a member of the AICPA Government Audit Quality Center, further ensuring that we stay up to date with the latest changes under the Office of Management and Budget's (OMB)Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.
Employee benefit plan audits
Employee benefit plans having 100 or more eligible participants are generally required by the Department of Labor under the ERISA regulations to submit audited financial statements each year as an attachment to their annual Form 5500. Failure to comply with this audit requirement, or with the operating requirements set forth under the ERISA regulations, can result in substantial financial penalties and/or disqualification of the Plan.
FL&S professionals have significant experience performing audits of employee benefit plans, and in preparing the related tax filings required for these plans. Our experience includes audits of 401(k), 403(b), defined benefit, defined contribution, ESOP plans. Our firm is a member of the American Institute of CPAs’ Employee Benefit Plan Audit Quality Center, a voluntary membership center for firms that audit employee benefit plans. The Audit Quality Center mandates that members adhere to strict requirements surrounding training, experience and reporting relating to employee benefit plan auditing. Our membership in the Employee Benefit Plan Audit Quality Center ensures you that all of our employee benefit plan auditors have current knowledge of applicable professional standards, rules and regulations for employee benefit plan audits.
Reviews and Compilations
While audits provide the highest level of assurance over financial reporting, an audit may not be the most appropriate service level your organization needs. Many outside parties such as lenders, other creditors, investors and grantors will accept a lower level of assurance in lieu of a full blown audit. Reviews and compilations performed in accordance with Standards for Accounting and Review Services issued by the AICPA, are substantially less in scope than an audit. They are also much less costly to perform than an audit.
Reviews of financial statements consist mainly of inquiries and analytical procedures. A review offers a limited assurance, rather than an opinion on the financial statements.
In compilation engagements, the CPA merely takes financial information prepared by management, and presents it in the form of financial statements without performing any procedures to that information. In a compilation, the CPA does not provide any assurance on the accuracy or fair presentation of the financial statements. Compilations can be useful to business executives as a way to analyze monthly, quarterly or annual financial results.
Other Assurance/Advisory Services
We have experts that provide a wide range of other assurance and advisory services including:
- Agreed upon procedure engagements
- Program specific audits
- Personal financial statements
- Acquisition due diligence
- Revenue recognition assessments
- Expense allocation analysis
- Internal control analysis, design and recommendations
- Financial forecasts and projections
- Overhead rate audits for government contractors