Accounting Standards for Private Enterprises

AcSB Exposure Draft – Employee Future Benefits – Use of a Funding Valuation

Summary

The AcSB seeks feedback on its proposals to modify the guidance on using an actuarial valuation for funding purposes in the measurement of the defined benefit obligation. These proposals apply to private enterprises and not-for-profit organizations applying the standards in Parts II and III of the CPA Canada Handbook – Accounting. Stakeholders are encouraged to submit their comments by December 16, 2019.

Read what stakeholders have to say about the AcSB Exposure Draft – Employee Future Benefits – Use of a Funding Valuation.

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Support Materials

Employee Future Benefits – Use of a Funding Valuation

Background

Stakeholders have informed the Accounting Standards Board (AcSB) about diversity arising in practice from enterprises applying Section 3462, Employee Future Benefits, in Part II of the Handbook. This diversity relates to the use of an actuarial valuation for funding purposes (funding valuation) in the measurement of the defined benefit obligation and how this section’s requirements interact with recent changes to pension legislation, including changes in Ontario and Quebec.