Which SOC Report Is Best for Your Company?

SOC Reports come in Type I and Type II formats, providing detailed insights into control effectiveness.

SOC Reports now fall under SSAE 18 guidance, effective May 1, 2017. 

SSAE 18, or Statement on Standards for Attestation Engagements No. 18, is a set of standards issued by the American Institute of Certified Public Accountants (AICPA) for performing attestation engagements. It provides guidance on how to conduct audits and reviews of controls at service organizations.

SOC Reports: SSAE 18 is often associated with SOC (System and Organization Controls) reports, specifically SOC 1, SOC 2, and SOC 3 reports. Each type of SOC report addresses different aspects of service organizations' controls:

• SOC 1: Focuses on internal controls over financial reporting.
• SOC 2: Focuses on controls relevant to the Trust Services Criteria (security, availability, processing integrity, confidentiality, and privacy).
• SOC 3: Similar to SOC 2 but intended for a general audience and is less detailed.

Key Changes from SSAE 16: SSAE 18 replaced SSAE 16 and introduced several important changes, including:

• Increased Focus on Risk: Emphasizes understanding and addressing risks related to service organization controls.
• Enhanced Reporting Requirements: Requires more detailed descriptions of controls and their testing.
• More Rigorous Evaluation: Involves a more rigorous approach to evaluating the controls and their effectiveness.

Take Action with HWNS LLC:

• Assess Your Controls: We’ll evaluate your current control environment to ensure it meets SSAE 18 standards.
• Partner with Experts: Our certified auditors will conduct a comprehensive SOC audit tailored to your needs.
• Achieve Certification: We’ll help you secure SOC 1, SOC 2, or SOC 3 certification, demonstrating your commitment to top-tier service and security.

Contact HWNS LLC today to start your path to SOC certification and elevate your organization's standards.

Elevate your organization's reputation by demonstrating top-notch control standards and earning the trust of your clients and stakeholders. 

Don’t delay—start your journey towards SSAE 18 compliance and secure your SOC 1, SOC 2, or SOC 3 certification today.

Ensure your organization meets the highest benchmarks for security and privacy. Reach out to us now to learn how obtaining a SOC report can benefit your business. 

Email us at: hw.s@hwnsllc.com.