This sample audit work program reviews an organization’s employee bonus process.
Sample questions to consider include: Is the bonus in cash, stock, or a combination of both? Does formal documentation of the employee bonus program exist? How was the program documented? How was the program approved and by whom? Did the shareholders approve the plan? How was the bonus program communicated to employees? How are the bonuses calculated (by whom, medium)? How do you ensure that bonuses are calculated/paid in accordance with the approved bonus program? Who keeps the final copy of the employee bonus calculations?
Equity Stock Compensation Process Flow
Risk & Control Matrices - RCMs
Payroll and Benefits RCM