28/04/2022

CONCEPTUAL FRAMEWORK
&
ACCOUNTING STANDARDS

PAS 26 Accounting and Reporting by

Retirement Benefit Plans

Learning Objectives
• State the applicability of PAS 26.
• Describe the accounting and reporting requirements of PAS
26.

Conceptual Framework & Acctg. Standards (by: Zeus Vernon B. Millan) 2

Applicability

PAS 19 PAS 26
 Applied by an employer  Applied by, for example, a
in (among others) trustee, when preparing
determining the cost of the financial
providing retirement statements of a
benefits. retirement benefit
plan. PAS 26
complements PAS 19.

Conceptual Framework & Acctg.

3
Standards (by: Zeus Vernon B. Millan)

1
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Financial Statements of a Defined Contribution

Plan

• a statement of net assets available for benefits;

• a statement of changes in net assets available for
benefits; and
• accompanying notes to the financial statements

Conceptual Framework & Acctg.

4
Standards (by: Zeus Vernon B. Millan)

Financial Statements of a Defined Benefit Plan

1. a statement that shows:
a. the net assets available for benefits;
b. the actuarial present value of promised retirement benefits,
distinguishing between vested benefits and non-vested benefits;
and
c. the resulting excess or deficit (PAS 26.17)
or
2. a statement of net assets available for benefits including either:
a. a note disclosing the actuarial present value of promised retirement
benefits, distinguishing between vested benefits and non-vested
benefits; or
b. a reference to this information in an accompanying actuarial
report. (PAS 26.17)

• A statement of changes in net assets available for benefits and

accompanying notes are provided in both (1) and (2) above.
Conceptual Framework & Acctg.
5
Standards (by: Zeus Vernon B. Millan)