Audit season is a stressful time and can sometimes distract from the day-to-day operations of the company.
However, an audit is a useful tool that provides an independent verification of the company’s operations and internal controls.
At Baker Tilly, we want to ensure that closing out the year-end in preparation for your audit goes as smoothly as possible. Here are some useful tips to prepare for an efficient and effective audit:
1. Aim to complete month-end reconciliations
Month-end reconciliations may seem mundane at times; however, these routine reconciliations will help you to prepare for your year-end audit.
If issues arise during routine reconciliations, these can be solved on a timely basis and not during your year-end audit.
2. Keep a detailed checklist
By maintaining a detailed checklist, you won’t miss anything and you won’t double up on your workload.
Each year, you should request a detailed information request list from your auditor which can be used in your preparation for the year-end audit.
This will provide a good starting point for your preparation and you won’t need to scramble through old emails in search of information that would have been requested in the prior year.
3. Address any issues as they arise
If issues arise throughout the year, and you are unsure of the correct treatment, always query these with your auditors. This will ensure that issues will not arise during the audit.
4. Schedule your audit with a realistic timeframe
Allow yourself sufficient time to close off the year-end and also to prepare for the audit.
Starting preparation while the audit is being conducted may lead to working longer hours and distract from the day-to-day operations.
5. Set aside time to prepare
We understand the effort that goes into preparing for the year-end audit.
We suggest setting aside a few hours a week, in the weeks prior to the year-end, to prepare the necessary schedules and information that will be required.
6. Allow time to address our queries
While we fully appreciate that you have your own full-time job, please ensure you allow us some time to resolve queries that may arise during audit fieldwork.
This will ensure that we address all issues as they arise during fieldwork and that there are no queries post fieldwork.
If you have any questions, feel free to contact Baker Tilly’s Audit & Advisory team on (01) 6699999.
You can find out more about Renate Pauce, Audit and Advisory, Baker Tilly, by visiting her on LinkedIn.