Department of Labor Audits PDF Print E-mail

One of the most important services Fringe Benefit Group provides its clients is support in the event of a DOL audit. In the event of an audit or inquiry, the burden of proof is on the contractor.

We give you the peace of mind that comes from knowing your prevailing wage benefit contributions are tracked and reported in an accurate and timely manner. The most common issue the DOL investigates is whether the benefit portion of the prevailing wage is actually being contributed toward a bona fide benefit plan.

Commonly requested documents in a DOL audit include:

  • Plan documents
  • Adoption agreement
  • Schedules A
  • Statements
  • Forms 5500
  • Summary plan descriptions
  • Fidelity bond information
  • Census
  • Distribution forms
  • Forms 1099
  • Schedule of contributions received
  • Summary Annual Reports
  • Nondiscrimination testing results

Since Fringe Benefit Group is the recordkeeper for your plan, we have these documents in our files. Once you provide us a copy of your audit request, we assemble the requested documentation and send it to you. That means you can prepare for your audit with little or no disruption to your work.

The support provided by Fringe Benefit Group during an audit also saves you money. Rather than paying an attorney $300 per hour to gather documentation and respond to the audit, you get this service from us at no additional charge. We've helped contractors through this process for 30 years, so we often know what the DOL expects and can quickly assist you in preparing your response. We have established relationships with both the DOL and the IRS and we can talk to them on your behalf to clarify the issue(s) they've raised.

Another member of your compliance and audit support team is our representative in Washington, DC. If needed, we can have him speak to the auditor on your behalf. We provide these services at no additional cost to you. And should the situation escalate beyond our scope, we can refer you to outside counsel with expertise in prevailing wage issues.

For more information on DOL audits:

http://www.dol.gov/compliance/guide/dbra.htm#CompAssist

http://www.wdol.gov/docs/WRB2002.pdf

 

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Fringe Benefit Group

The single-source provider of benefits for hourly employees.