A service provider can do many things to prepare for an AAF 01/06 or AAF 02/07 assurance engagement. Defining control objectives and identifying related control activities is an important step in the process. Many service providers will engage a professional services firm with a background in both financial auditing and IT auditing to assist with […]
The AAF 01/06 and AAF 02/07 are not an auditing standard and are generally not a regulatory requirement. For directors of service organisations that have had an AAF 01/06 or AAF 02/07, the experience of these reports from other organisations and the arrival of the new guidance in the form of supplements, such as TECH 04/13 “Assurance Reporting […]
No – the entire organisation does not have to have an AAF 01/06 or AAF 02/07 assurance report. An organisation may have many business units, one of which may process transactions or provide information processing services for its customers. Therefore, an AAF 01/06 assurance report could focus on just one business unit.
An AAF 01/06 assurance report can only be performed by an independent firm licensed by the Institute of Chartered Accountants England & Wales. An ICAEW firm that performs AAF 01/06 must adhere to specific professional standards for professional ethics and independence and are required to follow specific guidance related to planning, execution, and supervision of the assurance procedures and […]
AAF 01/06 and ISO 9001:2008 are similar in that they are recognised as global quality management standards applying to all types of organisations of different sizes. AAF 01/06 is an assurance standard based on audit principles designed to allow an ICAEW. Reporting Accountant to evaluate and issue an opinion on the controls of a third party service organisation. The […]
The most common assurance reporting standards issued by chartered accountants in the UK are AAF 01/06, AAF 02/07. AAF 01/06 and AAF 02/07 are technical guidance issued by the Institute of Chartered Accountants in England & Wales (ICAEW) Audit and Assurance Faculty (hence the term “AAF”). Both provide comfort over the design, implementation and operating effectiveness of controls. AF 01/06 […]
The Pensions Regulator’s Code of Practice 05 Reporting late payment of contributions to occupational money purchase schemes and Code of Practice 03 Funding defined benefits states that trustees should report material late payments to the Pensions Regulator within 10 working days of identifying that a late payment is material. The reports can be either electronic or on paper-based. […]
For defined contribution schemes the Pensions Regulator has a Code of Practice 05 Reporting late payment of contributions to occupational money purchase schemes. For defined benefit schemes the Pensions Regulator has a Code of Practice 03 Funding defined benefits. Both give practical guidelines on the requirements of reporting the late payment of contributions. These state that trustees […]
A schedule of contributions is a schedule required under pension legislation and regulations for defined benefit occupational pension schemes. It must specify the contribution rates that the employer and employee will pay into the scheme and the date these payments must be received by the trustees. This schedule is normally agreed between the employer and the trustees and […]
A payment schedule is a schedule required under pension legislation for defined contribution occupational pension schemes. It must specify the contribution rates that the employer and employee will pay into the scheme and the date these payments must be received by the trustees.