Pension Obligation / Expense finding, different

svgleeson

Are there different equations for finding out PBO and expense based on

1. SFAS 158
2. US GAAP
3. IFRS

Or is SFAS158 = US GAAP

Thanks for your responses

tarunajwani

I think there are no diff in finding out PBO and expense bw the standards. Only big diff is about what to report on BS bw GAPP (funded status) and IFRS (smoothed funded status).
And yes, SFAS = US GAPP.

liquidity

There is a difference between GAAP and IFRS on how they report the pension expense. GAAP allows for Actual ROA reporting where IFRS just reports Expected ROA. (look it up, I'm serious here).

Also, GAAP has the 'net transition liability' in their pension expense.

Whatever amortized items (actuarial loss, net transition liability, past service cost) is not included in the pension expense is included in equity; whereas in IFRS it's included in the pension asset.