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DownloadUpdated: December 2013
Effective Date: Fiscal years beginning on or after January 1, 20141
This Section applies to accounting for employee future benefits provided by a NPO.
Except as stated in this Section, a NPO applies the guidance in Section 3462, Employee Future Benefits, in Part II of the Handbook in accounting for employee future benefits.
Refer to our publication “ASPE At a Glance: Section 3462 – Employee Future Benefits,” for more information.
Recognition and presentation of remeasurements and other items
Remeasurements and other items are defined in paragraph 3462.006(z) as the aggregate of:
- The difference between the actual return on plan assets and the return calculated using the discount rate used to determine the defined benefit obligation;
- Actuarial gains and losses;
- The effect of any valuation allowance in the case of a net defined benefit asset, determined in accordance with paragraph 3462.086;
- Past service costs; and
- Gains and losses arising from settlements and curtailments.
A NPO determines the amount of remeasurements and other items for the period in accordance with paragraphs 3462.085-.090.
Remeasurements and other items are:
- Recognized directly in net assets in the Statement of Financial Position, not in the Statement of Operations; and
- Presented as a separate line item in the Statement of Changes in Net Assets.
In a subsequent period, remeasurements and other items cannot be reclassified to the Statement of Operations.
1 Earlier application is permitted, but only if applied to all of a NPO’s benefit plans. This Section is applied retrospectively, in accordance with Section 1506, Accounting Changes, except as set out in paragraphs 3463.06-.07.
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