Accrued benefits refer to the benefits that are due under a defined-benefit pension scheme in relation to the service rendered by an employee up to a specific date. These may be calculated based on current earnings or protected final earnings, and are governed by various regulatory standards depending on the jurisdiction.
The actuarial present value of an employer's postretirement benefits other than pensions, attributed to employee service rendered up to a specified date. These benefits often include retiree medical or retiree life insurance benefits.
The actuarial method is a technique employed in accounting, particularly lease and pension accounting, to allocate rentals and determine charges using principles of compound interest.
A condition that is recognized when the accumulated benefit obligation (ABO) is greater than the fair value of plan assets. When this occurs, an additional liability must be recorded if an accrued pension liability is already present.
The actuarial present value as of a specific date of all benefits attributed by the pension benefit formula to employee service performed before that date. It is measured using assumptions as to future compensation levels if the pension benefit formula is based on those future salary levels (e.g., pay-related, final-pay).
