Audit Costs as Part of Fund’s Judgement

Posting by Andrew Staab

A recurring theme mentioned by Larry Beebe on trustee reluctance to engage in regular and routine payroll audits is COST (e.g., “It’s too expensive!” or “The cost does not justify the result.”).  My standard response to such comments is that audit costs are a recoverable expense under ERISA, specifically 29 U.S.C. §1132(g)(2).  Although the statute does not specifically say “audit costs,” it does include:

(D) reasonable attorney’s fees and costs of the action, to be paid by […]

July 10, 2009 Payroll Audit, Uncategorized Read more...

Principal Appointed to Sibley Hospital Board

Bond Beebe, a certified public accounting and advisory firm with offices in Bethesda, Maryland and Alexandria, Virginia, announced today that Geoffrey D. Brown, a Principal with the firm, has recently been appointed to the Board of Sibley Memorial Hospital. Sibley Memorial Hospital is a non-profit, full service 328-bed acute care community hospital serving the Washington, D.C. area. Said Brown, “I am honored to be involved with the Sibley Memorial Hospital’s Board and to be able to give back to […]

July 9, 2009 Firm News & Events Read more...

Why We Don’t Do Payroll Audits – Reason 4

Posting by Larry Beebe, CPA

“The Union Business Representatives Police all of the Jobs”

The union business representative in a given local union’s jurisdiction may be doing an excellent job at policing the jobs.  But the business representative’s primary job is to represent the union members working on the job.  The business representative is there to listen to the union member and insure that the member is properly represented in dealings with the employer signed to the collective bargaining agreement (CBA).

The […]

July 8, 2009 Payroll Audit Read more...

Cultivating a “Hospitable” Environment for Marriott’s Non-Family Leadership

Posting by Geoffrey D. Brown, CPA

There was big news in the hospitality industry last week when Marriott International announced that someone other than a Marriott family member, Arne Sorenson, would be taking over as President and Chief Operating Officer, putting him clearly in line to succeed Bill Marriott as the CEO.  Bill and his father, J.W. Marriott, have been the only two CEOs the company has ever known.

Part of the reason given for this step toward non-family leadership is […]

July 8, 2009 Family Owned Businesses, Human Resources Read more...

Transforming a Century-Year-Old Business

Posting by Admin

Jack Moore, a former family board member of Benjamin Moore & Company Paints, leads a discussion with family business owners and members regarding the transformation of his own family business and its later $1 billion sale to Warren Buffett.

http://podcast.intersource.net/2008/04/04/leadership-breakfast-maryland-jack-moore/

– See more at: http://dcfamilybusiness.com/transforming-a-century-year-old-business/#sthash.TKPo2A66.dpuf

July 1, 2009 Family Owned Businesses, Uncategorized Read more...

Rental Fraud and the Internet

John Merchant, CPA, CFE

As the economic downturn forces more individuals to look for a place to rent, it is probably inevitable that unscrupulous individuals have devised ways to take advantage of the situation and use the internet to commit fraud.  The Denver Post reports specific instances where fraudsters used Craigslist.com in their schemes.  Apparently, these individuals found unoccupied homes for sale and then listed them on Craigslist as rental properties.  Unsuspecting renters paid rent and security deposits to the […]

June 24, 2009 Accounting, Forensic Accounting Read more...

He Ain’t Fired-He’s My Brother: When a Family Business Should Put Non-Family First

Posting by Joel C. Susco, CPA

Whether you are currently part of a family business or not, the vast majority of us have experience being in a family.  If we have siblings, we may have had some tests of equality given to us – such as, “I had to go to community college, but mom and dad sent little Suzie to Harvard!”  And most of us have also learned that being related does not mean we are completely, or remotely, […]

June 17, 2009 Family Owned Businesses Read more...

Compensation in Family Business

Posting by Jacqueline M. Thompson, CPA, Principal

Compensation, especially within a family-owned business, can be a touchy subject.  I once worked with a gentleman who had opened up his own HVAC business when his five children were young.  As the kids grew up, all four of his sons eventually ended up in what would become the family business.  The sons started working during summer vacations while they were still young, then each joined the business full-time after graduating from high […]

June 15, 2009 Accounting, Family Owned Businesses Read more...

Why We Don’t Do Payroll Audits – Reason 3

Posting by Larry Beebe, CPA

“The Plan Has Strong Internal Controls over the Collection Process”

A plan should have a strong Internal control system over its collection process.  A plan should have a collection policy and a collection committee that insists on compliance with the collection process.

The internal control system we should be discussing, however, is the internal control system at each contributing employer which insures that all hours are paid in accordance with the collective bargaining agreement.  Each employer will […]

June 8, 2009 Payroll Audit Read more...