Audit and Assurance Managers with Direct Partner Involvement

Do I need an AUP or an Audit?

Understand that a full audit is not always required, but there is value in testing your company’s inventory, financials, accounts, operations, policies, and other data. HRSS has years of experience working within your industry, and we can help you decide whether an AUP or an audit is the best option that fits the needs of your business and its stakeholders.

An agreed-upon procedures (AUP) engagement uses procedures similar to an audit, but on a smaller scale. Different from an audit, no formal opinion will be provided on whether the company’s financial statements have been prepared in accordance with U.S. Generally Accepted Accounting Principles (GAAP), but our clients receive a detailed report on the procedures and an analysis of our findings used to identify specific problems that require immediate action.

AUPs boast several advantages over audits. An AUP engagement allows our clients the ability to choose only the procedures they feel are necessary, which offers them greater flexibility than a traditional audit and is more cost-effective. When performing an AUP, we also have the ability to target specific non-financial data that is outside the scope of a traditional audit such as a review of internal controls.

Consider an AUP when you need to address certain information or have a specific requirement about your company’s financial and non-financial data. Our HRSS professionals work with our clients to help them customize an AUP engagement and develop the type and extent of the necessary agreed-upon procedures that will clearly identify the underlying information that our clients need.

An Agreed-Upon Procedures (AUP) Engagement can be useful in situations, such as:

Contact our audit team for more information.

HRSS has extensive experience conducting both financial statement audits and audits of major federal award programs and compliance requirements. Our professionals are thoroughly familiar with the requirements of all applicable laws, regulations, and OMB Circulars, as well as with the funding sources of our clients’ programs, and will guide you through the regulations that apply to you.

Accepting federal funds leads to new requirements that must be met, which varies from program to program. Any non-federal entity who receives federal awards exceeding $750,000 during its fiscal year is required to have a Single Audit (or Uniform Guidance Audit) performed in accordance with the Single Audit Act, Universal Guidance and OMB circular requirements. We are committed to providing the most cost-effective compliance audit. We also analyze the efficiency of your controls, and we provide an opinion on whether your organization has complied with the requirements applicable to your grants.

Our clients include educational institutions, foundations, arts and cultural organizations, association and membership organizations, social health and welfare agencies, school districts and municipalities, religious organizations, local governmental units, etc. HRSS also works with for-profit entities receiving federal funding through federal departments, such as HUD.

For-profit organizations, such as multifamily housing entities and lenders, that participate in HUD programs may require program-specific audits performed under the HUD Consolidated Audit Guide. If you are a not-for-profit and governmental organization participating in HUD housing programs, you are subject to a single audit. Our HRSS audit professionals understand HUD programs and what is needed to help you stay in compliance.

If you have any questions related to HRSS’s single audit process, need help to determine if your organization is subject to the single audit requirements, or do not know which of your programs are considered major programs, please contact us for more information today.

Many institutions struggle with the reporting process placing their eligibility to participate in federal aid programs at risk. The rules and regulations surrounding Federal Student Aid (FSA) programs are constantly changing and becoming more complex making the process more confusing for government and private institutes to comply with the ever-changing Student Financial Assistance and Generally Accepted Government Auditing Standards (GAGAS) requirements. HRSS’s audit professionals, therefore, work with colleges, universities, and vocational schools that participate in the Title IV program ensuring these institutions comply with Title IV laws, so they can continue to focus on creating opportunities for students. Our services include financial statement audits and Student Financial Aid compliance audits.

HRSS works with you to complete Title IV audits correctly by:

Our Title IV audit professionals will help you maintain compliance with the United States Department of Education, Student Financial Aid, and other governmental regulatory requirements. Contact us for more information.

Throughout the world, companies use two predominant accounting standards to report their financial results: GAAP and IFRS. Most of the countries in the world have adopted International Financial Reporting Standards (IFRS) developed by the International Accounting Standards Board (IASB). IFRS is becoming the global accounting standard for the preparation of public company financial statements.

HRSS recognizes that businesses operate in a global marketplace and understands the attention to detail and the importance of financial reporting under IFRS. However, the Securities and Exchange Commission (SEC) has not released any requirement for the adoption of IFRS as the primary financial reporting regime for U.S. companies. With the increasing pressure, convergence may be coming soon as they continue to pursue efforts to more closely align U.S. GAAP with IFRS.

Our audit professionals have extensive experience with audits of IFRS financial statements and keep abreast of the changes in IFRS and efforts to converge U.S. and international accounting standards. Convergence raises a number of issues for companies including external financial reporting, business strategies and policies, processes, financial reporting systems and underlying data, internal reporting, etc. HRSS can help your company succeed and assess the impact of IFRS on your company and on key reporting areas by using a pre-adoption assessment to identify and prioritize issues that require attention.

We can provide IFRS accounting support to make sense of the statements and captions affected by the conversion to IFRS. In our work assisting clients with their internal controls, we can assist management in managing change, assist with accounting systems and internal controls design and implementation, assist with the selection of IFRS accounting policy alternatives, and helping assess the implications. Our trained professionals can also examine operational impacts on compensation plans, loan covenants and dividend policies, as well as handle communication with stakeholders on any changes and developments.

Our services include:

Differences between GAAP and IFRS:

If your company is looking to transition to IFRS or needs assistance understanding the principles-based standards, contact us for more information.