Question

Use the master glossary in the Codification to research the disclosure requirements for postretirement benefits other than pensions. Explain these requirements.

Answer 1

Disclosure And Requirements for Postretirement Plans:

Emloyer needs to disclose the fallowings:

A. A reconciliation of the beggining and ending balances of the benefit obligation, Reporting each of the fallowing:

1. Service Cost,
2. Interest Cost,
3. Contibutions by the plan participants,
4. Actuarial gain And losses,
5. Effect of foreign currency exchange rate changes
6. Benefits Paid,
7. Plan Amendments,
8. Effect of Bussiness Cominations, And divestituters,
9. Curtailment, Settelment, and Special Termination Benefits.

B. A reconciliation of begining and ending balances of the fair value of the plan assets reporting each of the fallowing:

1. Actual return on plan asset.
2. Effect of foreign currency exchange rate changes
3. cntribution by Employer.
4. Contribution by plan participants.
5. Benefits Paid.
6. Effect of bussiness combinations and divestitures.
7. Settelments.

C. SFAS 87and SFAS 106 both reqire a reconciliation of the funded status of the plan with the amount reported in the funded statement. SFAS 132 amends these standards to require reporting of:

1. The net Pension or other postretirement benefits prepaid asset or accrued liability.
2. Any Intengible asset and the amount of accumulated other comprehensive income.
3. Any unamortised prior service cost
4. Any unrecognized gain or loss
5. Any remaining Unamortized net obligation or net asset existing at the initial adoption of SFAS 87 and SFAS 106.

D. Net periodic benefit cost,Displayig Seprate amortisation of any unrecognized transition obligation,, or recognized gain or loss,