Accounting for Pensions and Share Based Payments

This course will provide in depth coverage of the accounting for pensions and other employee benefits such as wages, holiday pay, termination benefits as required by IAS 19 and share based payments as required by IFRS 2. The course is equally relevant to those applying UK GAAP as the standards are broadly similar and any differences will be flagged.

The principal issues, the accounting, presentation and disclosures requirements for pensions, employee share option plans and other share based payment transactions will be examined together with any alternative treatments available. The course will make extensive use of examples and mini case studies.

Course Content

Introduction

• The relevant accounting standards
• Adoption dates
• IAS 19 - Employee Benefits
• Short term employee benefits including salaries and compensated absences
• Deferred compensation
• Termination benefits

IAS 19 - Pensions Accounting

• Defined contribution schemes
• Defined benefit schemes
• Accounting for the pension expense
• Determining the pension asset or liability
• Accounting options available for the actuarial difference
• Settlements and curtailments
• Multi employer plans
• UK GAAP differences
• Disclosure requirements

IFRS 2 - Share Based Payments

• Scope of standard
• Measurement of the share based payment
• Vesting conditions
• Modifications of terms
• Cancellations and settlements
• Equity-settled share based payments
• Cash-settled share based payments
• Transactions with settlement options
• Disclosure requirements

First Time Adoption Requirements

• Requirements and options available for those transitioning to IFRS

Current Issues

• Overview of proposed changes for the future