FRS17 Retirment Benefits

System
System Posts: 100,534 🤖 Admin 🤖
edited 10:09AM in AAT student discussion
Hi there,<BR>Could some one please explaim me about FRS17, because our tutor told us that would me possible to tested this year. From my osborne book I could not get in my mind*******Thick!!!!!!!!!! if some one can easy way to explain this please do appreciate.<BR>Riaz

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  • System
    System Posts: 100,534 🤖 Admin 🤖
    FRS17 Retirment Benefits

    basically the objective of FRS 17 is to ensure that the statements fairly reflect the employers retirement benefit obligations and any related funding. There are 2 ways to run a retirement scheme:- <BR><BR>defined contribution, where employer pays regular contributions to a pension scheme. The amount of pension payable at retirement is not guaranteed, it depends on how well the investments perform.<BR><BR>defined benefit scheme-the eventual pension payable is predetermined, usually a % of the final salary. impossible to say whether the contributions made will generate enough to provide for the benefits so the emplyer may be obliged to make up the shortfall.<BR><BR>
  • System
    System Posts: 100,534 🤖 Admin 🤖
    FRS17 Retirment Benefits

    Thanks DawnGB, I do appeciate, it is easy now to remember.

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