Staff Auditor
A staff auditor is an entry-level position within an audit firm or the internal audit department of an organization. This individual works under the supervision of senior auditors or audit managers and assists in conducting audits to ensure that financial statements and internal controls adhere to relevant standards, regulations, and laws.
Responsibilities of a Staff Auditor might include:
- Testing and Verification: Carry out basic testing procedures on financial records to verify their accuracy.
- Document Review: Review financial documents, receipts, invoices, and other relevant records as part of the audit process.
- Process Documentation: Document the audit procedures performed, findings, and any issues that arose during the audit.
- Analytical Procedures: Perform simple analytical tasks to understand financial trends and anomalies.
- Internal Controls: Evaluate the effectiveness of an organization’s internal controls to ensure they’re robust and functioning as intended.
- Collaboration: Work closely with other members of the audit team, sharing findings and collaborating on areas that need further investigation.
- Continuous Learning: Stay updated on the latest accounting and auditing standards, as well as any changes in laws and regulations that affect the auditing profession.
Qualifications and Skills:
- Typically, a bachelor’s degree in accounting or a related field is required.
- Strong analytical, problem-solving, and organizational skills.
- Effective communication skills, both written and verbal.
- Ability to work in a team environment.
- Detail-oriented, as auditors must be meticulous in their examination of financial records.
- Familiarity with accounting software and tools.
As staff auditors gain experience, they may progress to senior auditor roles where they’ll take on more responsibility, including planning audits, supervising junior staff, and communicating findings to higher management or clients.
Example of a Staff Auditor
Here’s a hypothetical scenario to help illustrate the role and responsibilities of a staff auditor:
Scenario: Staff Auditor at TechFin Corp
Background: TechFin Corp is a mid-sized fintech company that offers online banking solutions. Every year, the company undergoes both an internal and external audit. Lily is a newly hired staff auditor in the internal audit department of TechFin Corp.
Month 1 – Onboarding: Lily undergoes an onboarding process where she’s introduced to the company’s financial systems, software tools, and past audit reports. She also attends training sessions on the company’s internal control processes.
Month 2 – Preliminary Audit Planning: Under the guidance of her senior auditor, John, Lily is assigned to review the accounts payable section of the financial statements. She begins by understanding the process flow, reviewing the previous year’s working papers, and noting any prior issues or discrepancies.
Month 3 – Fieldwork Begins: Lily starts her fieldwork. Her tasks include:
- Selecting a sample of vendor invoices and ensuring they match with the corresponding purchase orders and goods receipt notes.
- Checking mathematical accuracy of selected transactions.
- Confirming that appropriate approvals were obtained for payments.
- Testing to ensure invoices were recorded in the correct accounting period.
While conducting her tests, Lily identifies an invoice that appears to have been double-paid. She flags this for further investigation.
Month 4 – Issue Resolution: Upon discussing her findings with John, they decide to expand the sample size for the accounts payable section. Their deeper dive reveals two more instances of double payments. John and Lily meet with the accounts payable team to understand how the errors occurred. It’s discovered that a software glitch in the new accounting system caused the errors.
Month 5 – Reporting: Lily documents all her procedures, findings, and the resolution of the double payment issue in the working papers. She drafts a section of the internal audit report, detailing her findings and recommendations, including a review of the new accounting system’s implementation and better training for the accounts payable team.
Month 6 – Audit Wrap-up and Presentation: The entire internal audit team consolidates their findings. Lily, along with other staff auditors, presents her section to the audit manager and the CFO of TechFin Corp. The CFO appreciates the team’s thoroughness, especially in catching the software glitch early, potentially saving the company from more significant financial errors in the future.
This example highlights the typical responsibilities of a staff auditor, showcasing the importance of their role in ensuring the accuracy of financial records and the effectiveness of internal controls.
