什么是SAS 114字母 & 你应该向董事会报告什么?
审计结束了. 你终于可以检查了 那 从你的待办事项列表中删除乏味的任务. You’ve received the required audit report and financial statements with expected results and are free to breathe a sigh of relief 那 your audit responsibilities for the year are taken care of, 正确的? 毕竟, now 那 the audit is over you likely won’t hear from your auditor again until next year, 正确的? 别着急!
Just about the time you are ready to move on to a new task, you discover another strange document in your mailbox. 这是什么?? 为什么你会收到它?
在你看来是什么样子
单词. 它充满了文字. 不是随便说说，哦不! It looks like a standard, very specific set of words. 这是会计术语吗?? 法律术语? Should I get an accountant or an attorney on the phone?!
你可能计划用它做什么
After a brief “freak out” moment, you may start along a new train of thought. Something along the lines of: We don’t need to call our attorney only to get billed for clarifying what looks to be a standard document. It doesn’t have a signature line, so clearly we aren’t required to sign anything. We won’t throw this away, but we will simply file it away with everything else …
停在这里!
Allow me to shed some light on the document you just received.
什么是本文档 实际上 Is
The correspondence you’re reviewing is formally called a “SAS 114 Letter: The 审计or’s Communication with Those Charged with Governance.” 然而, it’s usually titled something much more “user-friendly.” Yours may be called: “Report to the Board” or “Report to the Trustees.”
你为什么会收到这份文件
The 审计ing Standards Board originally drafted its 审计的指导 in the form of 状态ments on 审计ing Standards (abbreviated as “SAS”). The communication you’ve received was originally established as required communication in SAS 114, 因此，上面提到的正式名称. The 审计ing Standards Board has since completed a clarification process of its 审计的指导 (effective for audits of financial statements for periods ending on or after Dec. 15, 2012) and has changed references to where the specific guidance is now located. But the requirement for this communication remains.
读也: When Fiduciaries Fail To Put Participants First, The Legal System Takes Notice
SAS 114信函为何重要
The purpose of the report is to directly communicate, to those individuals charged with governance (A.K.A =你), matters 那 they should be aware of as part of their oversight responsibility for the financial reporting process.
This document addresses non-earth shattering items such as the division of responsibilities between the auditor and those charged with governance, any new accounting policies 那 were adopted, and the specific accounting estimates 那 were used in preparing the financial statements. 然而, it also includes details of any audit adjustments 那 were required to be made, disagreements the auditor had with management, and significant difficulties the auditor faced while performing the audit.
As part of the communication, the audit team often will attach additional letters. These additional letters include documentation of deficiencies noted within the internal controls processes (especially if the audit team has determined these deficiencies to be significant deficiencies or material weaknesses). They can also include additional comments from the audit team related to compliance issues and errors noted during testing.
大多数, 如果不是全部, of the matters discussed within this additional report cannot be gleamed solely by reading through the audit report and associated financial statements. Without this additional communication, it’s likely 那 you will never hear about these matters.
如何处理你的SAS 114信
读它! This report could hold the key to improving your overall processes and compliance and its review should be documented as part of demonstrating your fiduciary responsibility.
The 审计ing Standards Board called for this communication to be made in all audits with a purpose. So, whether the report was mailed to you or is being formally presented by the audit team, make sure you ask questions until you fully understand everything it’s telling you.
Get the help you need before, during, and after the audit process. 电子邮件的意图 & 联系s to speak with a member of our Retirement Plan 审计 服务 team.
By Darlene Finzer，注册会计师，CSA, QKA (新费城办事处)
看看 these articles for more tips and clarification on the audit process:
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[ARTICE] How Safe Is Your Plan Participants’ Data?
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看看 集120, “你的退休计划是否符合规定?” on 不适合在意图电台播放,意图 & 比较靠谱的赌博软件’ award-winning weekly accounting, tax, consulting, and compliance 播客.
This article was originally published in April 2017. 然而, 因为这首歌很受欢迎, we have made some updates to ensure the content remains current and accurate.