Audit Reports

Objective

We performed procedures agreed upon by the U.S. Office of Personnel Management’s (OPM) Office of the Chief Financial Officer. This attestation engagement is an annual requirement of the U.S. Office of Management and Budget.

Our objective was to assist the OPM in assessing the reasonableness of Postal Service employee health benefits, life insurance, and retirement withholdings; Postal Service benefit contributions; and enrollment information submitted via the headcount report.

This report is not suitable for any other purpose.

Findings

We performed the procedures agreed upon by the OPM’s Chief Financial Officer to assist in assessing the reasonableness of health benefits, life insurance, and retirement withholdings; Postal Service benefit contributions; and enrollment information submitted via the headcount report.

We identified issues related to employee base salary calculation and life insurance elections.

Specifically:

• The base salary used for payroll purposes and as a basis for withholdings and contributions differed from the base salary reflected on the Postal Service Form 50, Notice of Personnel Action, for one of 25 employees.

• We could not verify the life insurance election for two of 25 employees reviewed.

Prior to our engagement, the Postal Service refunded the benefit contributions made because of the inflated base salary. Further, as a result of our engagement, Postal Service human resources personnel created a document for the file for each impacted employee to serve as the official record of life insurance elections.

We were not engaged to perform, and did not perform, an examination or review, the objective of which would have been the expression of an opinion or conclusion, respectively, on the withholdings and contributions for health benefits, life insurance, and retirement, or enrollment information. Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, we might have found other matters that we would have reported.

Recommendations

This report is provided for information only, and we offered no recommendations. Accordingly, no management action is required.