Tag Archives: GASB 75

Implementing GASB 75 rules

In 2016, new Governmental Accounting Standards Board (GASB) rules were implemented for postemployment benefits other than pensions (OPEB). Other rules are scheduled to go into effect this year.

Successful implementation of the new rules requires an understanding of various technical concepts related to newly required calculations. In this PERiScope article, Milliman’s Tim Herman discusses the allocation of financial reporting liabilities and expenses for cost-sharing multiple-employer OPEB plans under GASB 75.

This article is part of Milliman’s Governmental Accounting Standards Board (GASB) 73/74/75 series.

GASB 74/75: Impact on small government employers

The Alternative Measurement Method (AMM) allows small government employers to use a modified approach to calculate their postemployment benefits other than pensions liabilities. In this article, Milliman consultant Joanne Fontana reviews the AMM, which is used by small government employers in lieu of an actuarial valuation. It also discusses the important changes relevant to small government employers as Governmental Accounting Standards Board (GASB) Statements No. 74 and 75 takes effect.

GASB 74/75: Depletion date projections

In this article, Milliman’s William Winningham discusses the determination of an OPEB plan’s depletion date, which is the projected point in the future (if any) when plan assets are no longer sufficient to satisfy benefit obligations. He also talks about the impact on liability calculations that would result from a conclusion that a depletion date exists.

This article is part of Milliman’s Governmental Accounting Standards Board (GASB) 73/74/75 series.

GASB 73/74/75: Timing considerations for compliance with new financial reporting rules

Governmental Accounting Standards Board (GASB) Statements 74 and 75 mandate changes to the way liabilities are reported on financial statements for state and local governments with other postemployment benefits (OPEB) obligations. These changes are designed to standardize the way OPEB expense is calculated and displayed in order to enhance disclosure and facilitate decision-making. There are several important dates to consider when calculating and reporting OPEB liability: the reporting date, actuarial valuation rate, and measurement date. Milliman’s Rebecca Ross provides perspective in this PERiScope article.

GASB 74/75: Calculation specifics on individual entry age normal

With Governmental Accounting Standards Board (GASB) Statements 73, 74, and 75, new accounting rules for public postretirement benefit plans in the United States are set to take effect soon. Successful implementation of the new rules will require an understanding of a variety of technical concepts regarding the various newly required calculations. In this PERiScope article, Milliman’s Michael Caparoso discusses the individual entry age actuarial cost method for the valuation of other postemployment benefits (OPEB).

Overview of GASB Statements 73, 74, and 75

In June 2015, the Government Accounting Standards Board (GASB) released new accounting standards for public sector postretirement benefit programs and the employers that sponsor them. GASB Statement 73 is for accounting and financial reporting for pensions not within the scope of GASB Statement 68 and will apply for employer fiscal years beginning after June 15, 2016. GASB Statements 74 and 75 reflect a fundamental overhaul in the standards for accounting and financial reporting for postemployment benefits other than pensions. GASB 74 is effective for plan fiscal years beginning after June 15, 2016, and GASB 75 is effective for employer fiscal years beginning after June 15, 2017. In this article, Milliman’s Daniel Wade provides a summary of GASB Statements 73, 74, and 75.