SOX: Internal Controls for Accounts Payable

SOX compliance is more than just checking boxes-it’s about building a control environment that ensures the accuracy and integrity of financial data. One of the most critical areas to get right is Accounts Payable. With hundreds or thousands of transactions flowing through the AP process every month, any breakdown in controls can lead to serious financial misstatements.

This session will focus on the internal control requirements for AP departments under the Sarbanes-Oxley Act, with a specific emphasis on Section 404. You’ll learn how to identify key risks, design appropriate controls, and ensure those controls are operating effectively throughout the year-not just at audit time.

We’ll walk through the full AP process, from vendor setup and invoice entry to approval, payment, and reconciliation. Particular attention will be paid to segregation of duties, fraud risk, duplicate payments, and approval authority. The course will also cover the importance of change management, documentation standards, and the role of internal audits in monitoring control effectiveness.

Participants will learn how to spot red flags, address common audit findings, and ensure controls are clearly documented, reviewed, and tested. You’ll also gain insights into integrating technology and automation tools to reduce manual errors and improve compliance.

This is not a theoretical course-attendees will receive real-world examples, sample control matrices, and step-by-step guidance on aligning their AP operations with SOX standards. Whether you’re managing a small AP team or part of a large finance function, this course provides the practical tools and techniques you need to reduce risk and demonstrate compliance.

By the end of the session, participants will have a deeper understanding of how to strengthen controls, prepare for audits, and build a more resilient AP function that aligns with SOX requirements.

Why should you Attend:
Accounts Payable is one of the most vulnerable areas in any organization. From fraudulent vendor invoices to duplicate payments and unrecorded liabilities, a weak AP process can result in significant financial loss. With SOX audits becoming more rigorous, you must be prepared to demonstrate effective internal controls and a strong control environment.

This session will equip you with practical guidance to protect your company’s financial integrity. You’ll gain clarity on control design, documentation, segregation of duties, approval workflows, and risk indicators specific to AP. Whether you’re building a control framework or improving an existing one, this course will help you meet SOX expectations with confidence.

Areas Covered in the Session:

• Overview of the Sarbanes-Oxley Act and relevance to Accounts Payable
• Section 404 and internal control requirements for financial reporting
• Identifying key AP risks and designing mitigating controls
• Common AP control failures that lead to material weaknesses
• Segregation of duties within the AP process
• Vendor onboarding and master file maintenance controls
• Invoice processing and approval workflows
• Fraud detection controls and red flags in AP
• Duplicate payment prevention strategies
• Role of technology and automation in strengthening AP controls
• Documentation and audit trail requirements
• Best practices for control testing and internal audit coordination
• How to respond to SOX audit findings and remediation steps

• Anyone that works in a Financial Institution