Broker Auditor Gets Green Light To Charge Big Players More
- Created: Friday, 13 January 2012 09:36
The SEC has given a green light to the Public Company Accounting Oversight Board to hire another 30 broker-dealer auditors as well as another 60 accountants to pore over the filings of security issuers.
In all, PCAOB's budget clearance is rising by $227 million, but let's hope there's a lot more on their agenda than simply hiring 90 more auditors.
Divide $227 million by 90 salaries and you've got a pretty huge payroll expense.
In any event, the broker-dealer community only has to pay $18 million of that new budget allocation, while the rest will be absorbed by listed companies.
And only the big brokerage firms will end up paying more. Last year, only 15% of the firms in the industry saw their fees rise, which translates to the 700 biggest entities in the business.
That means on average $26,000 apiece -- maybe not much, but again, it remains to be seen how they'll divide the burden.
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