What it is
In a compilation the accountant helps present financial information in the form of financial statements without obtaining or giving any assurance. A compilation report is always issued.
AR-C 80 requires a written agreement signed by the accountant and management or those charged with governance. This template covers the required terms, plus an optional clause for omitted disclosures.
When to use it
- Monthly, quarterly or annual compiled statements for owners, lenders or bonding companies.
- When the client wants statements with a CPA report but no assurance.
What’s inside
- Objective of a compilation and the statement that no assurance is obtained or given
- Management responsibilities for the statements, records and internal control
- Expected compilation report, including any independence impairment disclosure
- Optional: statements that omit substantially all disclosures
- Fees and signature blocks for both parties
Standard cited
This template follows AR-C 80 (SSARS). It is written in our own words, except for phrases the standard requires the document to contain, with [bracketed placeholders] for client details, amounts in USD and dates as MM/DD/YYYY. Check it against the current standard and your firm’s methodology before use.
Questions
Can a CPA who is not independent perform a compilation?
Yes. AR-C 80 allows it, but the compilation report must say the accountant is not independent. The accountant may, but is not required to, describe the reasons.
What is the difference between a compilation and a preparation engagement?
A compilation always results in a compilation report (AR-C 80). A preparation engagement (AR-C 70) has no report; instead each page of the statements carries a legend stating that no assurance is provided.
Related templates
- Preparation Engagement Letter (AR-C 70)
- Review Engagement Letter (AR-C 90)
- Month-End Close Checklist (Excel)
Last updated 11/04/2026. All free templates.