Audit Risk Alert: Employee Benefit Plans Industry Developments, 2019

Employee Benefit Plans Industry Developments — 2019 01-180

How This Alert Helps You 01-03

Economic and Industry Developments 04-12

The Current Economy 04-12

Accounting Issues and Developments 13-31

ASU No. 2017-06, Plan Accounting: Defined Benefit Pension Plans (Topic 960), Defined Contribution Pension Plans (Topic 962), Health and Welfare Benefit Plans (Topic 965): Employee Benefit Plan Master Trust Reporting (a consensus of the Emerging Issues Task Force) 14-19

ASU No. 2018-09, Codification Improvements 20-25

ASU No. 2018-13, Fair Value Measurement (Topic 820), Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement 26-31

Auditing Issues and Developments 32-57

EBP Reporting Standard 33-35

Risk Assessment and Controls Reliance 36-43

Use of Outside Service Provider System-Generated Information and Reports 44-46

Fee Arrangements in Defined Contribution Retirement Plans 47-48

Missing Participants and Uncashed Checks 49-51

Data Analytics 52-56

Emerging Technologies: What Practitioners Need to Know 57

Defined Benefit Pension Plans 58-76

Benefit Payments and Missing Participant Data 59-62

Administrative Expense Assumption Used in Calculation of Accumulated Plan Benefits 63-67

Mortality Tables for Pension Plans Updated 68-72

Liquidation Basis of Accounting 73-76

Health and Welfare Benefit Plans 77-89

Retiree Health Plans 78-79

Retiree Reimbursement Account or Arrangement 80-82

Private Exchanges for Retirees 83

Telehealth 84

Association Health Plans 85

Opioid Crisis 86-87

Nondisclosure Agreements 88-89

Audit Quality 90-107

Peer Review Overview and Developments 90-105

Risk Assessment Tools 106-107

Recent Pronouncements 108-110

Recent Auditing and Attestation Pronouncements and Related Guidance 109

Recent ASUs 110

Regulatory Developments — DOL 111-131

DOL Releases FAB Clarifying Issues Regarding Proxy Voting, Shareholder Engagement, and Economically Targeted Investments 111-114

DOL Issues FAB Regarding Temporary Enforcement Policy on Prohibited Transactions Rules Applicable to Investment Advice Fiduciaries 115

DOL Issues New Rule Aimed at Providing New Health Care Options for Small Employers 116-120

Compliance Assistance for AHPs Now Available at Employer.gov 121-123

DOL Releases Advance Copies of Form 5500 Annual Return/Report for 2018 124-126

DOL Releases 2018 Form M-1 and Top 10 Filing Tips 127-131

Regulatory Developments — IRS 132-150

Bipartisan Budget Act of 2018 132-136

TCJA — Impact on Retirement Plans 137-141

IRS Determination Letter Program for Pre-Approved Defined Benefit Plan Documents 142

IRS Updates the Employee Plan Compliance Resolution System 143

VCP Changes Use Fees 144-145

Executive Order to Expand Access to Workplace Retirement Savings Plans and Review Rules on Required Minimum Distributions 146-148

IRS Issues Private Letter Ruling on 401(k) Student Loan Benefits 149-150

Regulatory Developments — Multiemployer Plans 151-157

Multiemployer Plan Accounting Chapter 151-153

Solvency of Multiemployer Plans 154-157

Employee Benefit Plan Resources 158-180

EBPAQC 159

EBP Audit Certificate Programs 160-161

Publications 162

Continuing Professional Education 163-166

Webcasts 167

Member Service Center 168

Hotlines 169-170

Online Professional Library: Accounting and Auditing Literature 171

Codified Clarity Standards 172-174

Financial Reporting Center of AICPA.org 175-177

Industry Conferences 178-179

Appendix A — Additional Internet Resources 180

Founded in 1887, the American Institute of Certified Public Accountants (AICPA) represents the CPA and accounting profession nationally and globally regarding rule-making and standard-setting, and serves as an advocate before legislative bodies, public interest groups and other professional organizations. The AICPA develops standards for audits of private companies and other services by CPAs; provides educational guidance materials to its members; develops and grades the Uniform CPA Examination; and monitors and enforces compliance with the accounting profession’s technical and ethical standards.
The AICPA's founding established accountancy as a profession distinguished by rigorous educational requirements, high professional standards, a strict code of professional ethics, a licensing status and a commitment to serving the public interest.