Abstract: This study attempts to examine whether the family control has an impact on the relationship between earnings management and future performance. We also assess whether the auditor has the important role in family owned firms. The total sample in this study has covered 918 firms. We suggest that the average value of the future performance of family-based firms is better than the one of non-family firms. We also show that accrual earnings management in Indonesia is more opportunistic than efficiency. Finally, bigger auditor firms which selected by family firms have the positive effect on future performance.