AICPA Quality Management Standards: A Focus on Year Two  (AQM2)

2.00 CPE Credit Hours

Firms should have implemented the Quality Management Standards (SQMS 1-3) by December 15, 2025. Theengagement level standards, SAS 146, SSARS 26, and SSAE 23 are effective for engagements with periods beginningon or after December 15, 2025. Firms are also required to evaluate their system of quality management (SQM) at somepoint during 2026. New accounting firms will be able to start fresh implementing the standards and having no previouspolicies and procedures. They will want to ensure that their systems are set up to meet professional standards from thestart. This course will mainly focus on the evaluation of a firm’s SQM, how to approach it, and how to prepare thedocumentation necessary to meet professional standards. We will also discuss the application of standards for new firms.This information will benefit all firms since many existing firms, after having had a few months to assimilate them, arebeginning to revise some of their policies and procedures and improve their Quality Management Policy and ProcedureManuals.

Auditors in public accounting in a partner, owner, or managerial role

• Review quality management provisions in SQMS 1-3
• Review quality management provisions in SAS 146, SSARS No. 26, and SSAE 23
• Identify the steps required when modifying an existing SQM or establishing a new one
• Evaluate risk in year 2 or modify an existing risk assessment
• Perform monitoring steps required to evaluate the SQM

• Quality management standards – SQMS 1-3
• SAS 146, SSARS No. 26, and SSAE 23
• Performing and documenting the firm’s evaluation of the SQM (major focus)
• Setting up an SQM