These Practice Aids were developed to provide auditors with the tools they need to meet the demand for 403(b) plan audits.

The Practice Aids are based on the PPC’s Practice Aids format used by thousands of firms, and provide extensive practical considerations that guide you through the audit of a 403(b) plan and include the following:

• Checklists
• Confirmation and correspondence letters
• Firm policies
• Audit programs designed specifically for full scope and DOL limited-scope audits
• Introductory material, including illustrative auditor's reports
• Initial audit procedures

To make using these Practice Aids as efficient as possible, they are based on the practice aids included in PPC's Guide to Audits of Employee Benefit Plans. However, we've tailored these Practice Aids for the unique aspects of auditing 403(b) plans, saving you time on every engagement. Our practical "how-to" engagement process helps you perform these engagements in a cost effective manner. Links to related accounting and auditing guidance on Checkpoint are also included. The following are some of the important new features of the 2013 edition of PPC's Practice Aids for Audits of 403(b) Plans:

• Clarified Auditing Standards. The AICPA has completed a large-scale project to revise all existing auditing standards and to design a format under which all new standards will be issued (the Clarity Project). SAS No. 122, Statements on Auditing Standards: Clarification and Recodification, became effective for audits of financial statements for periods ending on or after December 15, 2012. These practice aids have been updated for the clarified standards.
• Significantly Revised Auditor’s Reports. All auditor’s reports will change significantly as a result of the Clarity Project, and we have revised the report illustrations. These reports are required to be used for audits of 2012 calendar year-end plans.
• New ERISA Requirements for Plan Sponsors. New ERISA regulations under sections 404(a), requiring certain fee disclosures to participants, became effective for sponsors for plan years beginning after October 31, 2011. In addition, regulations under 408(b)(2), regarding arrangements with service providers, became effective July 1, 2012. This edition of these practice aids includes practical considerations on these two new regulations.
• Updated for New Accounting Standards and Other Guidance. The audit programs, checklists, other practice aids and practical discussions have been updated for recently-issued authoritative accounting literature, up to and including FASB ASU 2013-05, Foreign Currency Matters (Topic 830): Parent's Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity, issued in March 2013. These practice aids also reflect updated information from the 2012 versions of the Form 5500 and the AICPA Audit and Accounting Guide, Employee Benefit Plans, to help you apply the latest requirements in your audit engagements.
• Comprehensive, Up-to-date Disclosure Checklist. The most effective way to ensure all of the required information is disclosed in the 403(b) plan financial statements you audit is to use our comprehensive disclosure checklist. The disclosure checklist for financial statements of 403(b) plans has been thoroughly updated to provide you the most current and comprehensive tool to help you ensure the financial statements you audit comply with authoritative pronouncements.