Pension funds, Auditing

Pension Funds

Pension funds are set up by companies or other organizations:

(a) To administer the pension payable to retired employees and
(b) Ensure that funds are available to pay pensions even if the sponsoring organization goes into liquidation. The auditor’s duties involve:

  • Examining the trust deed that set up the fund and ensuring that its provisions have been correctly carried out;
  • Verifying that there is proper control over the transactions of the fund;
  • Confirming the portfolio of investments. All changes must be authorised by trustee minutes and all income must be received;
  • Confirm that the funds are enough to meet its future commitments. These are generally determined actuarially, if possible annually. Most of the schemes incorporate an undertaking by the sponsor to make excellent any deficiency.

 

Posted Date: 12/4/2012 5:37:20 AM | Location : United States







Related Discussions:- Pension funds, Assignment Help, Ask Question on Pension funds, Get Answer, Expert's Help, Pension funds Discussions

Write discussion on Pension funds
Your posts are moderated
Related Questions
Ownership and Existence - Verification Procedures Establishment of title and beneficial ownership of investments is not convincingly possible. Conversely, evidence is obtainab

what is the role of audit trainee in managing the discrete assignment?

Liability to third parties For long time liability to third parties existed only in respect to physical damage. Liability for financial loss is a current development.  Illustra

Auditors Procedures After Stock Taking It is particularly a follow up exercise and it includes: 1) Checking the cut off along with the details of last numbers of stock move

Plz assist me with these questions The auditors for Weston University are conducting their audit for the fiscal year ended December 31, 2011. Specifically, the audit firm is now

Write a paper (may be real or fictional) involving Accounting and business moral dilemmas. The paper should be 13 pages (double spaced) in accordance with APA guidelines. more des

State four factors considered determining sufficiency of audit evidence


Judgmental Sampling Judgment sampling is where the auditor using his own experience and knowledge of the client's business and circumstances selects the sample to be tested wi

Question: (a) What is an audit? Why there is need for an audit? (b) Explain the steps the auditor must take before deciding whether to accept the nomination as auditor. (