As a company, we pride ourselves on delivering exceptional service and tailored solutions to help organizations achieve their financial goals. We understand that financial success is not one-size-fits-all, and we work closely with each client to provide personalized attention and customized solutions. With years of experience in auditing and consulting for 401(k) plans, we offer a comprehensive range of services to help you navigate the complex requirements of plan audits and maintain compliance with the Department of Labor (DOL) and Internal Revenue Service (IRS) regulations. Our team of qualified auditors is committed to providing personalized attention and exceptional service to help you achieve your goals and objectives.

Annual 401(k) Audit: Why It's Essential

As a plan trustee, you assume a great deal of professional and personal risk in your selection of service providers. If you have over 100 eligible employees, an annual 401(k) audit is essential. The Department of Labor has strict rules about which businesses require an audit, and it's a process that can be informative and valuable for you and your employees. An audit provides peace of mind for both plan sponsors and participants and helps to ensure that the plan is being operated efficiently and effectively.

A 401(k) audit is essential for several reasons:

  1. Helps to protect the interests of plan participants by ensuring that the plan is being operated correctly, and their contributions are being managed appropriately. 

  2. Helps to avoid potential penalties and fines for non-compliance with DOL and IRS regulations.

  3. Helps to identify any areas of risk or non-compliance early on, allowing for corrective action to be taken before any significant issues arise.

The audit can yield information on plan health, plan designs, and effective management of your census. The Summary Annual Report (SAR) that results from the audit provides an excellent opportunity to communicate with your participants about the benefit they are receiving.

An independent firm like The ZLH Group can provide essential insights into your plan and benefit providers. Our audit is not simply transactional, but provides recommendations on two key differentiators:

  1. Fee Examination – are the fees paid to service providers reasonable?

  2. Funds Review – are the funds still quality investments or “stale”?

Contact us today to learn more about how The ZLH Group can assist your business.

401(K) FAQ'S