When referring to SSAE16 or SOC 1, what is the difference and how do you use these acronyms appropriately?
Simply put, the SSAE No. 16 standard is the attestation standard used to create a SOC 1 branded report.
There are several SSAEs (Statements on Standards for Attestation Engagements) for various types of reports, number 16 happens to be the one that applies and is used to perform an attestation on a service organization controls likely to impact their customers’ internal controls over financial reporting. The terms are often times used interchangeably because of their relationship; but they are different.
When referring to the ‘audit’, there is no single right way to do it; however, probably the most technically accurate phrase would be ‘SSAE 16 examination’. When referring to the report, ‘SOC 1 report’ should be used.
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