Internal auditors play a key role in a company’s financial health and risk management. This branch of accounting can seem confusing to some. What exactly is in an internal auditor’s job description, and what do they do?
Education requirements. Most internal auditors are CPA or CIA certified. Also, you must possess a BS in Accounting or Finance. Some auditors hold higher degrees, depending on their seniority. Based on their experience and qualifications, auditors can be junior or senior level.
Perform audits. Internal auditors perform various checks for an organization. They pour over lengthy reports and find any errors or loopholes in accounting or documentation. Auditors create detailed reports and offer solutions to companies that can help avoid risk in the future and save them money. They can perform an audit for anything – from services to HR to fiscal statements, and more.
Follow protocol. Auditors must understand and abide by auditing standards, procedures, laws, and rules and regulations. When performing an audit, they ensure companies are following all these laws and regulations, and if they do not, note how the company can do this, and what they’re doing wrong.
Other duties. While auditing is the main responsibility of an internal auditor, they may be asked to perform other duties, such as create an audit calendar, communicate and update an organization’s audit committee and management, and conduct follow-ups to ensure management is implementing their audit solutions.
What do you think is the biggest benefit of internal auditing?