In this era of increased transparency, GASB standards 67 and 68 will make momentous revisions to the current accounting and reporting for pensions, both from an employer perspective as well as from a plan perspective.
Net pension liabilities will be reported on the statement of net assets, providing citizens and users of these financial reports with a clearer picture of the size and nature of the financial obligations to current and former employees. The intent is that implementation of the standards will result in a more accurate representation of the full impact of pension obligations and improve the comparability and consistency in how governmental organizations calculate and record this liability. Many organizations will incur additional time and cost to comply with these new standards. Regardless of the type of plan your organization offers or participates in, you will need to plan accordingly to ensure you are ready for the transition.
At the conclusion of this session, participants will be able to:
- Understand the impact that these standards will have on their organization’s financial statements
- Identify steps to take to prepare for the implementation of the standards
- Effectively discuss the potential implications with Board members and other users of financial statements
Presenters | Eric Formberg, Michelle Watterworth, and Katie Thornton, all members of the firm’s professional standards group.