; FAQ 1033: FASB / ASC 715 Valuations - Benefit Payouts on PBO Basis

FAQ 1033: FASB / ASC 715 Valuations - Benefit Payouts on PBO Basis


How do you modify the FASB benefit payouts report to be based on PBO benefits instead of on a projected benefit basis (the system default)?


1. MAKE A COPY OF YOUR ORIGINAL CASE. You will be manipulating benefit fields which would change the liability results if you ran calculations with these modified fields.
2. Open the copy of your case.
3. Create a grid from the Employee menu by selecting View \ Grid \ New .
4. Grid field selection - Select Name\NAME, Date\PARTSTAT, FASB\FASBBENF, FASB\FASBABO, FASB\FASBPBO, ACCRBENF\ACCRBENF and any other desired fields.
5. Grid formula selection - From the center column of the grid set up menu, select Formulas. A new window will pop up asking you to fill in the Formula File name. Make sure that the radio button ReadOnly is selected. Use the spyglass to the far right to select the file StandardFormulasDB.FME from the ASC\REPORTS\ directory and click Open. Then click OK on the Formula File box. You'll now see your grid Find Item selection menu with the left side showing a list of available formulas from the StandardFormulasDB file selected. Scroll down the formula list on the left side to locate the Formula Name FASPBOAB. Double-click on FASPBOABO. Hit OK on the next screen which presents a 'Total Option' menu. Click Done.
6. Grid employee selection - the Select Employees menu will appear. You may choose to create your grid to be based on only status A,B and C so that the formula is not applied to inactive statuses. Click OK when done.
7. Grid Optional - If you want to save this grid for future use, click View \ Grid \ Save As and give your grid a name.
8. Once the grid is open, click on the FASB Proj Benf header cell and then go to View>Grid>Set Column Data and fill in the items as follows:
a. 1st Drop-down menu - Select FASBENF
b. From - Select Formula Name
c. Name - Click on the Spyglass icon, then use the drop-down menu to select the formula FASPBOAB.
d. Click Execute to first test that the setup has been properly completed. Once satisfied, hit OK to apply the formula to the Employee data in your grid. The FASB Projected Benefit field will now be populated with the PBO accrued benefit.
9. Go to Reports>Actuarial>FASB and select to print ONLY the FAS Projected Payouts. You must rely on your original case for the liabilities. This copy of your plan is only to be relied upon for the projected benefit payouts.