What is SSAE 16?

The Statement on Standards for Attestation Engagements (SSAE) No. 16, Reporting on Controls at a Service Organization.

SSAE 16 was designed to replace the SAS 70 audit. Using many of the same provisions established by SAS 70, an SSAE 16 audit adds important aspects to become more viable in the global marketplace and broaden the use of the Service Auditor's Report. These changes help the SSAE 16 to be a US mirror to the internationally used ISAE 3402. SSAE 16 has an effective date of June 15, 2011.

Important Changes to Your Audits

From SAS 70 to SSAE 16 and ISAE 3402

Under the new standards, organization management must provide, in writing, an assertion that attests to the fair presentation and design of controls (for Type 1 reporting) or the fair presentation, design and operating effectiveness of controls (for Type 2 reporting).

This type of assertion-based reporting requires that management take ownership of the organization's controls, and their reports demonstrate a working knowledge. They often require the creation of new practice standards or the revision of existing controls.

KirkpatrickPrice will assist its clients in understanding the transition from SAS 70 to the SSAE 16 audit or ISAE 3402 audit. Contact one of our SSAE 16 associates today.