The Securities and Exchange Commission (SEC) voted today to approve the 2025 budget for the Public Company Accounting Oversight Board (PCAOB) and its related annual accounting support fee.
The PCAOB’s 2025 budget totals $399.7 million, with an accounting support fee of $374.9 million. Of this fee, $346.1 million will be assessed on public company issuers, while $28.8 million will be levied on registered broker-dealers.
A Foundation of Trust
SEC Chair Gary Gensler emphasized the importance of trust in financial markets, noting the critical role of accurate financial disclosures:
“Well-functioning financial markets are built on trust. Critical to such trust are disclosures – including financial statement disclosures made by issuers and broker-dealers to the investing public. I have seen since the passage of Sarbanes-Oxley 22 years ago the importance of that law in promoting trust in public company figures. This trust, though, can easily be taken for granted. The PCAOB – an important reform of the George W. Bush Administration – writes the standards for auditors and audits the auditors. That’s the core of what it does, and it’s every bit as important now and into the future.”
SEC Chief Accountant Paul Munter expressed confidence in the PCAOB’s stewardship, stating:
“I am confident in the Board’s ability to continue to act as a diligent and responsible steward of publicly sourced accounting support fees, as evidenced by their accomplishments this past year.”
PCAOB Oversight and Sarbanes-Oxley
Established under the Sarbanes-Oxley Act of 2002, the PCAOB is tasked with overseeing the audits of public companies and broker-dealers to protect investors and further the public interest in the preparation of informative, accurate, and independent audit reports.
The SEC’s oversight responsibilities under the Sarbanes-Oxley Act include the annual review and approval of the PCAOB’s budget and accounting support fee, ensuring accountability and alignment with its mission to uphold the integrity of financial reporting.
The approval of the 2025 budget affirms the PCAOB’s continued role in safeguarding the transparency and trustworthiness of financial markets.
