Finding Text
During the course of audit fieldwork, auditors noted the following: - The ROE did not use time and effort documentation to distribute salary and benefit costs for employees paid from multiple funding sources. The ROE budgeted amounts at the beginning of the year to allocate payroll expense to each fund; however, the ROE never reconciled the amounts expensed in the general ledger to the employees’ submitted timesheets. Therefore, the ROE was unable to determine the reasonableness of the allocation of salaries and benefits amongst federal and State programs. - For four out of the twenty-four (17%) payroll disbursements tested, the withholding information used to calculate the employees’ pay did not agree to the Federal or Illinois Forms W-4 on file. For the federal program, auditors noted for 3 out of the 4 (75%) payroll disbursements tested, the withholding information used to calculate the employees’ pay did not agree to the Federal or Illinois Forms W-4 on file. - One out of the twenty-four (4%) payroll disbursements tested inaccurately omitted the employees wages from being subject to Medicare tax.