What is an eligible employee?

An eligible employee is either an active participant with assets in the plan or an employee who is eligible but has not yet contributed. A former (inactive/deceased) employee with assets in the plan or benefits still owed is considered eligible.

How do I know if I need an audit?

If your eligible participants are 121 or greater on the first day of the plan year, typically January 1, then you are likely required to undergo an audit. There are no rules preventing a firm under this number from obtaining an audit.

How long will the audit take?

Typically, if there are no extenuating circumstances, an audit can be completed in under 3 weeks.

Does the auditor need to come to our office(s)?

Your audit will be performed 100% remotely, regardless of your location. Your business will not be disrupted.  ZLH Financial performs audits nationwide.

When does my audit need to be completed?

The deadline for submitting the 5500 with the auditor's opinion and supporting documents is July 31. An extension on form 5558 may be filed to grant an extension for this deadline until October 15.

Do I require an ERISA 103 Audit (formerly limited scope) or a Full Scope Audit?

If the custodian of the plan's assets can certify the accuracy and completeness of the asset information, then the auditors do not need to test it. If you are unsure, we would be happy to speak with you!