Blog Tag: GASB 74
Change is inevitable – we hear this all the time. While I’m not aware of any mandate that says as much, it often seems that change correlates with the moment we finally get comfortable doing something a certain way. Over time I’ve learned to accept Pluto's demotion, but it seems counting the planets in our solar system at eight was premature. With each New Year, I eventually start writing the correct date on my checks. My children have all come with new, fluctuating guidelines on when to introduce peanut butter. Change can be frustrating, but we learn to adapt.
In June 2015, the Governmental Accounting Standards Board (GASB) released new accounting standards that will significantly change how public sector employers report their other post-retirement benefits (OPEB) in their financial statements. The new accounting standards will require reporters of the financial results and the actuaries who assist them to significantly change their procedures as they relate to OPEB reporting. This article will provide a high-level summary of the changes and effective dates of the new accounting standards (more detailed technical summaries of the changes will be provided in subsequent articles). It will also address a planning opportunity to conform to the new accounting standards that could potentially reduce the effort and expense involved in the transition.