SOC 2 Audit Process & Timeline: End-to-End Guide

SOC 2 Audit Process Overview

The SOC 2 audit process involves preparing your organization, implementing controls, operating them over time (for Type II), and undergoing examination by a CPA firm. Understanding each phase helps you plan resources and set realistic expectations.

Phase 1: Scoping & Planning (2-4 Weeks)

Before any audit work begins, you need to define what's being examined.

Define Your Scope

• Services: Which products/services will be covered?
• Systems: What infrastructure, applications, and tools support those services?
• Trust Services Criteria: Which criteria apply? (Security is required; others optional)
• Report Type: Type I or Type II?
• Observation Period: For Type II, what period? (typically 6-12 months)

Select Your Auditor

SOC 2 audits must be performed by a licensed CPA firm. Selection criteria include:

• Experience with your industry and technology stack
• Reputation and references
• Pricing and timeline
• Communication style and accessibility

Establish Project Team

• Executive sponsor
• Project lead (often InfoSec or Compliance)
• Technical representatives (Engineering, IT, DevOps)
• Process owners (HR, Finance, Operations)

Deliverables: Scope document, auditor engagement letter, project plan

Phase 2: Readiness Assessment (4-8 Weeks)

A readiness assessment (gap analysis) compares your current state to SOC 2 requirements.

What's Assessed

• Existing policies and procedures
• Technical controls (access, encryption, monitoring)
• Administrative controls (HR processes, vendor management)
• Physical controls (if applicable)
• Evidence collection capabilities

Gap Analysis Output

The assessment produces:

• Control mapping to Trust Services Criteria
• Gap identification (what's missing or weak)
• Risk prioritization
• Remediation roadmap with effort estimates

Readiness Options

• Self-assessment: Internal team using templates/frameworks
• Consultant-led: Expert assessment with recommendations
• Auditor-led: Pre-audit by your CPA firm (watch for independence issues)

Deliverables: Gap analysis report, remediation plan, updated timeline

Phase 3: Remediation (4-12 Weeks)

Close the gaps identified in your readiness assessment.

Common Remediation Activities

• Documentation: Create/update policies, procedures, standards
• Access Controls: Implement MFA, access reviews, least privilege
• Monitoring: Deploy logging, alerting, SIEM
• Change Management: Formalize change control processes
• Incident Response: Document and test IR procedures
• Vendor Management: Assess and document vendor security
• HR Controls: Background checks, security training, onboarding/offboarding
• Business Continuity: DR planning and testing

Evidence Collection System

Critical for Type II: establish systems to automatically collect evidence:

• Access review records
• Change tickets and approvals
• Training completion records
• Incident tickets
• Vulnerability scan results
• Backup verification logs

Deliverables: Implemented controls, documented procedures, evidence collection processes

Phase 4: Observation Period (3-12 Months, Type II Only)

For Type II, controls must operate effectively over a period of time—typically 6-12 months.

What Happens During Observation

• Controls operate as documented
• Evidence is collected continuously
• Exceptions are identified and addressed
• Control improvements are made as needed

First-Time Type II Considerations

• Minimum period: Most auditors require at least 6 months
• Recommended period: 9-12 months for first report
• Shorter periods: May be acceptable with auditor approval, but raises questions

Critical Success Factors

• Consistent execution of controls (no "we forgot for 3 months")
• Evidence retention (don't lose it)
• Prompt exception handling (document and remediate)
• Ongoing monitoring for control failures

Phase 5: Audit Fieldwork (2-6 Weeks)

The CPA firm examines your controls through testing and evidence review.

Fieldwork Activities

• Inquiry: Interviews with control owners and operators
• Observation: Watching controls in operation
• Inspection: Reviewing documents and configurations
• Re-performance: Auditor performs the control themselves
• Sample Testing: Selecting samples to verify consistent operation (Type II)

Evidence Requests

Expect requests for:

• Policies and procedures
• System configuration screenshots
• Access lists and reviews
• Change tickets from the period
• Training records
• Incident tickets
• Vulnerability scans
• Backup and restore logs
• Vendor assessments

Handling Exceptions

If auditors find control failures:

• Understand the exception fully
• Provide context and compensating controls
• Document remediation actions
• Exceptions will be reported (can't hide them)

Deliverables: Completed testing, exception documentation, management responses

Phase 6: Reporting (2-4 Weeks)

The auditor drafts and finalizes the SOC 2 report.

Report Drafting

• Auditor prepares draft report
• You review system description for accuracy
• You provide management responses to exceptions
• Back-and-forth on clarifications

Management Representation Letter

You'll sign a letter representing that:

• System description is accurate
• Controls are designed and implemented as described
• All relevant information was provided

Final Report Delivery

• Auditor issues final report
• Report is typically PDF format
• Valid for the period covered (Type II) or point in time (Type I)

Deliverables: Final SOC 2 report

Complete Timeline

Type I Timeline (First Time)

Total: 4-6 months

Type II Timeline (First Time)

Total: 12-18 months

Tips for a Successful Audit

Before the Audit

• Organize evidence before fieldwork begins
• Brief participants on what to expect
• Assign a single point of contact for the auditor
• Test your evidence collection for completeness

During the Audit

• Respond to requests promptly
• Provide clean, relevant evidence (don't overwhelm)
• Be honest about gaps—auditors will find them
• Ask clarifying questions if unsure what's needed

Common Pitfalls

• Starting observation period before controls are ready
• Not collecting evidence throughout the period
• Last-minute scrambling for documentation
• Inconsistent control execution
• Underestimating remediation effort

The audit itself is straightforward if you've done the preparation. Organizations struggle when they treat SOC 2 as a point-in-time exercise rather than building sustainable processes.