Audit & Accounting

The AICPA is a very complicated and unique entity that continues to amaze me. In large part, it is because of the many roles that it performs with regard to the CPA profession and the significant impact it has on individual CPAs, firms, and companies.

The Financial Accounting Standards Board has issued FASB Statement No. 163, "Accounting for Financial Guarantee Insurance Contracts."

As economic indicators continue to trend downward, Baby Boomers are feeling less confident that their retirement savings will see them through retirement. So says the results of a new research by Longevity Alliance that was conducted by Harris Interactive. Interestingly enough, the survey shows that few of these Baby Boomers really know what steps to take next. According to Longevity, 56 percent of all Boomers (adults 44-62) claim they are less confident than they were only three months ago that their retirement savings will last them through retirement. In fact, of those with such savings, seven in 10 say that were “less confident” overall, with 35 percent being “somewhat less confident,” and 36 percent indicating that they were “much less confident.” Despite the concern, few Boomers have done anything—or plan to do anything—about such flagging retirement savings. Longevity shows that only two out of five with such savings have changed or plan to change their retirement savings as a direct result of the current economic conditions. In fact, of those with such savings who have made a change (or plan to), some 43 percent say they would seek the advice of a financial advisor or retirement planning professional. Hooray! There’s hope alive here. Longevity president Steve Zaleznick says that the Boomers “know the train is coming, but they’re frozen on the tracks.” Unfortunately, he adds, too many are unsure of the best steps to take to guarantee that their money lasts. “In uncertain economic times like these, knowing what to do and when to act is critical; and seeking the advice of a professional can be extremely reassuring.” Also of interest were the distinct differences in attitudes about retirement between men and women. Among adults of all ages, men were more likely to have retirement savings although female Boomers are much more likely to say they have less confidence in their savings. Zaleznick notes that the survey shows clear consumer preferences among Boomers who plan to make changes in their retirement savings. Seeking the advice of a financial advisor or retirement planning professional was the top response followed by a reallocation of funds from stocks to more conservative investments. Other options were investing in value-priced stocks, buying long-term care insurance, and purchasing an annuity. Longevity has a Web site where you can tap into its “Five Tips for Retirement Planning” (www.longevityalliance.com). Boomers can also take the “Longevity Ready” quiz to get a better understanding of their personal preferences and planning style for a longer life.

Nonprofit accounting software developer Kintera said it has received notice of a possible delisting from Nasdaq after falling below the required threshold of stockholders' equity.

U.S. companies need more preparation and training before International Financial Reporting Standards can be adopted, according to a survey of CFOs and other senior finance professionals by Deloitte.

Wayne R. Pinnell has been leading Haskell & White as the firm continues to expand its mergers and acquisitions practice.

The U.S. Small Business Administration said that homeowners, renters, nonprofit organizations and businesses have one more month to submit disaster loan applications for damage caused by the severe storms and tornadoes on April 4.

A week after proposing requirements for public companies to start filing their financial statements with interactive data tags, the Securities and Exchange Commission wants mutual fund companies to begin filing risk and return information using the technology.

The Financial Accounting Foundation has tapped Teresa S. Polley as its new president and chief operating officer.

The Securities and Exchange Commission has broadened financing opportunities for small businesses by adopting a rule amendment under the Investment Company Act.