External Auditor Job Description [Updated for 2024]

external auditor job description

In the era of strict compliance, the role of external auditors is increasingly critical.

As businesses and industries evolve, the demand for skilled professionals who can examine, evaluate, and improve our financial and operational systems grows stronger.

But let’s delve into the details: What’s truly expected from an external auditor?

Whether you are:

  • A job seeker trying to comprehend the depth of this role,
  • A hiring manager crafting the perfect candidate profile,
  • Or simply curious about the intricate world of external auditing,

You’re in the right place.

Today, we introduce a customizable external auditor job description template, designed for easy posting on job boards or career sites.

Let’s dive in.

External Auditor Duties and Responsibilities

External Auditors are responsible for the examination of financial records and processes of an organization to ensure legality and validity.

They provide an independent and objective perspective on the company’s financial health and the effectiveness of their internal controls.

External Auditors often have the following duties and responsibilities:

  • Evaluate the financial statements of the company to ensure they comply with domestic and international accounting standards
  • Conduct risk assessments and outline the scope of the audit
  • Identify and assess areas of significant business risk or potential malpractice
  • Review and test internal control systems to ensure their effectiveness
  • Meet with company management to discuss the audit plan and findings
  • Prepare and present reports that reflect the audit’s results and document the process
  • Proactively maintain open communication with management and audit committee
  • Act as an objective source of independent advice to ensure validity, legality and goal achievement
  • Continuously update knowledge of rules, regulations and standards in the auditing field

 

External Auditor Job Description Template

Job Brief

We are in search of a skilled External Auditor to examine the financial statements of our organization and provide us with an objective view of our financial state.

The responsibilities of the External Auditor include analyzing financial records to ensure they’re compliant with laws and regulations, checking for fraudulent activity, examining internal controls, and assessing financial risk.

Our ideal candidate has in-depth knowledge of auditing standards and procedures, laws, rules and regulations, high attention to detail and excellent problem-solving skills.

Ultimately, you should be able to ensure that our financial operations and controls meet standards and are error-free.

 

Responsibilities

  • Perform regular audits and prepare detailed reports
  • Examine and analyze accounting records to determine financial status of establishment and prepare financial reports concerning operating procedures
  • Review and assess company’s financial condition, internal controls, and compliance with laws and regulations
  • Identify faulty processes and provide recommendations for improvements
  • Prepare and present reports that reflect the audit results
  • Conduct follow-up audits to monitor management’s interventions
  • Engage in continuous knowledge development regarding sector’s rules, regulations, best practices, tools, techniques and performance standards

 

Qualifications

  • Proven experience as an External Auditor
  • In-depth understanding of auditing and control practices
  • Updated knowledge of applicable laws and regulations
  • Proficient in MS Office (especially Excel) and accounting software
  • Strong mathematical and analytical skills
  • Attention to detail and excellent problem-solving skills
  • Integrity and confidentiality
  • BSc degree in Accounting or Finance and a CPA certification

 

Benefits

  • 401(k)
  • Health insurance
  • Dental insurance
  • Retirement plan
  • Paid time off
  • Professional development opportunities

 

Additional Information

  • Job Title: External Auditor
  • Work Environment: Office setting with options for remote work. Some travel may be required for site audits or client meetings.
  • Reporting Structure: Reports to the Senior Auditor or Audit Manager.
  • Salary: Salary is based upon candidate experience and qualifications, as well as market and business considerations.
  • Pay Range: $70,000 minimum to $120,000 maximum
  • Location: [City, State] (specify the location or indicate if remote)
  • Employment Type: Full-time
  • Equal Opportunity Statement: We are an equal opportunity employer and value diversity at our company. We do not discriminate on the basis of race, religion, color, national origin, gender, sexual orientation, age, marital status, veteran status, or disability status.
  • Application Instructions: Please submit your resume and a cover letter outlining your qualifications and experience to [email address or application portal].

 

What Does an External Auditor Do?

External Auditors are essential members of the accounting industry who specialize in examining the financial records of organizations.

They work for independent auditing firms or operate as self-employed individuals, offering their services to businesses across all sectors.

Their primary responsibility is to review and evaluate financial statements to ensure their accuracy and compliance with laws, regulations, and accounting principles.

This is achieved through a thorough analysis of a company’s financial records, operations, and internal control systems.

External Auditors also check for potential mismanagement of an organization’s funds and investigate any discrepancies or irregularities they discover.

They may also assess the risk of fraud or financial misstatements in financial documents.

Their findings are compiled into detailed reports and presentations for management or board of directors, highlighting any issues and recommending solutions to improve the organization’s financial management and controls.

They often provide advice on how to reduce costs, enhance revenues, and improve profits.

Additionally, the work of an external auditor serves to increase confidence and credibility in the financial statements among stakeholders, such as investors, creditors, or regulatory bodies.

 

External Auditor Qualifications and Skills

External Auditors require a blend of soft and hard skills, along with industry-specific knowledge, to effectively assess the financial health and internal controls of a business.

These include:

  • Strong analytical and numerical skills to understand, interpret and compare complex financial data.
  • Exceptional attention to detail to identify inconsistencies, potential fraud or non-compliance with laws and regulations during audits.
  • Excellent verbal and written communication skills for presenting audit findings, writing audit reports, and effectively communicating with various stakeholders.
  • Proficient knowledge of auditing standards and regulations, accounting principles, and taxation laws.
  • High proficiency in using audit software and other relevant computer applications for data analysis and report preparation.
  • Strong ethical standards and professional integrity to ensure unbiased, accurate audit reports.
  • Superior organizational skills to manage multiple audits simultaneously, meet deadlines and maintain thorough records.
  • Good problem-solving skills to identify and rectify issues that may arise during an audit.

 

External Auditor Experience Requirements

External auditors generally must have a bachelor’s degree in accounting or a related field, although many employers prefer candidates with a master’s degree.

Entry-level external auditors usually have at least 1 to 2 years of experience in a relevant role or through an internship or part-time position within an accounting firm, where they gain foundational knowledge about audit procedures and standards.

Candidates with 3 to 5 years of experience often have worked in an Audit Associate or Assistant Auditor role, where they have been responsible for conducting financial audits, ensuring compliance with regulations, and improving internal controls.

Those with more than 5 years of experience are often experienced enough to manage audit projects, make recommendations for system improvements, and guide junior auditors.

They may have gained this experience through roles such as Senior Auditor or Audit Manager.

In addition to work experience, external auditors also need certain professional certifications, such as the Certified Public Accountant (CPA) or Certified Internal Auditor (CIA) designation.

These certifications require passing an exam and meeting certain work experience requirements.

Furthermore, due to the nature of the role, external auditors should have a track record of maintaining high ethical standards and of working effectively with a variety of different stakeholders.

 

External Auditor Education and Training Requirements

External Auditors typically require a bachelor’s degree in accounting, finance, or a related field.

In-depth knowledge of accounting principles, auditing standards, business concepts, and financial regulations is critical.

They also need strong analytical and problem-solving abilities.

Most employers require external auditors to be Certified Public Accountants (CPA), which requires passing the Uniform CPA Examination.

It also typically requires two years of public accounting experience.

Certain positions, particularly those in specialized industries, may require external auditors to have a master’s degree in accounting or business administration (MBA).

Continuing education is critical for external auditors to keep up with changes in laws, regulations, and technology.

Many auditors pursue additional certifications such as the Certified Internal Auditor (CIA), Certified Information Systems Auditor (CISA), or Certified Fraud Examiner (CFE) to enhance their skills and career prospects.

These additional certifications and a master’s degree can indicate an auditor’s dedication to ongoing learning and professional development.

 

External Auditor Salary Expectations

An External Auditor earns an average salary of $67,277 (USD) per year.

The actual salary may vary based on factors such as level of experience, qualifications, location, and the company they work for.

 

External Auditor Job Description FAQs

What skills does an external auditor need?

External auditors need to be highly analytical with excellent attention to detail.

They should possess problem-solving skills and the ability to work independently.

Strong communication skills, both written and verbal, are necessary to effectively relay findings and recommendations.

Understanding of financial laws and regulations, as well as proficiency in auditing software and database systems, is also essential.

 

Do external auditors need a degree?

Yes, external auditors typically need at least a bachelor’s degree in accounting, finance, or a related field.

Additionally, they may need to obtain a Certified Public Accountant (CPA) or Certified Internal Auditor (CIA) certification.

This requires passing an exam and meeting other state-specific requirements, such as a certain amount of work experience.

 

What should you look for in an external auditor resume?

When reviewing an external auditor resume, look for a degree in accounting or a related field.

Relevant certifications, such as CPA or CIA, are crucial.

Experience in conducting external audits, thorough knowledge of accounting standards and regulations, and proficiency in auditing software should also be present.

It’s also beneficial if the candidate has experience in the industry your company operates in.

 

What qualities make a good external auditor?

A good external auditor is highly ethical, as they are responsible for detecting and preventing fraudulent activities.

They should be detail-oriented and have strong analytical skills to efficiently evaluate financial records.

Exceptional communication skills are also crucial, as they often have to explain complex financial information to non-finance professionals.

 

Is it difficult to hire external auditors?

Finding qualified external auditors can be challenging due to the specialized skills and certifications needed for the role.

It is also a highly competitive field, so attracting and retaining top talent may require offering competitive salaries, opportunities for professional development, and a strong company culture.

 

Conclusion

There you have it.

Today, we’ve given you a behind-the-scenes look at what it means to be an external auditor.

And guess what?

It’s not just about crunching numbers.

It’s about safeguarding financial integrity, one audit at a time.

Armed with our comprehensive external auditor job description template and real-world examples, you’re ready to stride ahead.

But why stop there?

Dig deeper with our job description generator. It’s your next step to crafting meticulous job listings or sharpening your resume to perfection.

Remember:

Every financial review is a part of the bigger financial landscape.

Let’s ensure that integrity. Together.

Reasons to Become an External Auditor (Enjoy Job Security)

How to Become an External Auditor (Complete Guide)

Disadvantages of Being an External Auditor (Caught in Compliance)

Robotic Replacements: Jobs Where AI is the New Norm

Beyond 9-5: Exciting Careers That Pay More Than You’d Expect

Flex-First Careers: Jobs That Put Your Freedom First

Storm-Proof Careers: Jobs That Thrive in Economic Instability

Similar Posts

Leave a Reply

Your email address will not be published. Required fields are marked *