Your annual workers’ compensation audit determines your final premium based on actual payroll and business activity. We help keep your payroll records and supporting documentation accurate, organized, and audit-ready throughout the year—so you’re prepared when audit time arrives, not scrambling at the last minute.
Workers’ Compensation Audit Support
A successful workers’ compensation audit starts with organized and accurate records. We help prepare your payroll and supporting documentation throughout the year so that when the auditor requests information, your records are complete, properly categorized, and ready for review.
Our audit preparation support may include:
- Payroll summarized by workers’ compensation classification or class code
- Overtime compensation properly identified and separated when applicable
- Officer and owner compensation clearly identified for audit purposes
- Certificates of Insurance (COIs) maintained for subcontractors
- Payments to subcontractors, independent contractors, and other non-employees properly documented
- Cash payments and 1099-related activity reviewed and organized
- Payroll reports and supporting financial records reconciled for consistency
- A complete, organized audit package prepared for submission to the auditor
Our goal is to make the audit process easier, reduce last-minute record gathering, and help ensure the auditor receives clear and accurate financial information.
Managing Subcontractor Insurance Before It Becomes an Audit Issue
Subcontractor documentation can have a significant impact on your workers’ compensation audit. If a subcontractor does not have a valid Certificate of Insurance (COI) covering the period in which work was performed, the insurance carrier may include those payments when determining your workers’ compensation exposure, potentially resulting in additional premium.
We help make COI verification part of your regular accounts payable process by collecting and reviewing certificates before subcontractor payments are processed. We can also track expiration dates and help identify missing or expired coverage while the subcontractor is still actively working with your business.
By maintaining organized subcontractor records throughout the year, you can reduce surprises at audit time and have the documentation readily available when the auditor requests it.
After the Workers’ Compensation Audit
Receiving your audit results doesn’t always mean the final premium calculation is correct. Classification errors, duplicated wages, improperly treated overtime, or subcontractors incorrectly included as employees can potentially affect the amount you owe.
We can review the audit worksheet against your payroll and supporting records to identify discrepancies and determine whether the calculations are supported by your documentation. When appropriate, we help organize the records and prepare a clear response so you can request a review or correction with the necessary financial information to support it.
Our goal is to help you understand your audit results, identify potential errors, and ensure your final workers’ compensation premium is based on accurate information