Knowledge-Centre

Knowledge Centre

Actuarial Practice Standard (27) Employee Benefits issued by Institute of Actuaries of India

Financial reporting in India underwent a transformation owing to the adoption of Indian Accounting Standards (Ind AS) that are converged with IFRSs.

Discount Rate for Actuarial Valuations of Employee Benefits (December 2017)

The discount rate used in actuarial valuations of employee benefit plans such as gratuity, pension, earned leave etc. is determined by reference to market yields at the balance sheet date on government bonds.

Discount Rate for Actuarial Valuations of Employee Benefits (September 2017)

In each of our discount rate updates, we have been recommending a consistent movement in the discount rate and salary growth rate to reflect the positive correlation between the inflation component of salary growth rate assumption and the discount rate.

Discount Rate for Actuarial Valuations of Employee Benefits (June 2017)

The discount rate used in actuarial valuations of employee benefit plans such as gratuity, pension, earned leave etc. is determined by reference to market yields at the balance sheet date on government bonds. Para 78 of AS15 reads as under:

Discount Rate for Actuarial Valuations of Employee Benefits (March 2017)

The discount rate used in actuarial valuations of employee benefit plans such as gratuity, pension, earned leave etc. is determined by reference to market yields at the balance sheet date on government bonds. Para 78 of AS15 reads as under:

Transitioning from AS29 to Ind AS37: Impact on Warranty Provisions

Financial reporting in India is undergoing a transformation owing to the adoption of Indian Accounting Standards (Ind AS) that are converged with IFRSs. Recognition, Measurement and Disclosure requirements for various items are undergoing significant changes consequently.

Attrition Rates and Impact on Employee Benefit Liabilities

Fall in yields on government bonds continued during the third quarter of this financial year. Yields, which were around 8% p.a. levels as at 31 March 2016 (varying by tenure of bond), are already below 7% p.a. levels...

Discount Rate for Actuarial Valuations of Employee Benefits (December 2016)

The discount rate used in actuarial valuations of employee benefit plans such as gratuity, pension, earned leave etc. is determined by reference to market yields at the balance sheet date on government bonds...