Premium Audit for Temp Employment & Leasing

 
Audits are conducted on at least an annual basis for temporary employment agencies. 
Below is a list of items required to conduct a thorough, efficient and accurate audit of payroll records. Also follows a list of items that may be requested. Understand that other records may be deemed necessary by the auditor, such as MA WR1s or state licenses for the nursing industry. 
 

Records and Information for a
Temporary Employment Agency Premium Audit

 
Required:
  • Payroll Journal/Register
  • Payroll Separated by Client Company
  • Sales by Client Company
  • Employer’s Quarterly Federal Tax Return – form 941
  • State Quarterly Tax and Wage Report – RI DET-TX-17
  • Cash Disbursements Journal / Business Checkbook
  • 1099’s / 1096
The following may be requested:
  • Files of the Invoices to Client Companies for random samplings
  • Photocopies of Checks / payments from Client Companies – first audit on new account
  • Invoicing / Billing Reports
  • 1120 Federal Tax Return
  • Bank Statements
  • Job Orders if Utilized
  • General Ledger or Profit and Loss Statement
Audits may be conducted either monthly or quarterly.