Get the Scoop on Post-Employment Table Updates
GASB statements require an actuary to update the tables of your organization’s post-employment valuation in the year between valuations. Table updates are just that – updates to the tables provided in the prior year’s valuation. That means a new valuation is not completed, but rather the tables illustrating obligations, etc. are updated to include in the organization’s financial reports for the new reporting period. To complete the table updates some data is required from you (financial statements, benefit payments and/or if you have a trust, trust statements and Fund 73 transactions). We will follow up with you in regards to the data that is necessary to complete the table updates. The good news is the data request is much less than is required for a full valuation. In addition, if you are using a measurement date the same as the reporting date (roll forward), your table updates will not be able to be completed until after the most recent fiscal year end as the data necessary to complete the updates is not available until that time.
When KBC prepares these table updates, it is important to understand that they are based on there being no changes or modifications to the post-employment benefits from the prior valuation. If changes to the benefits or eligibility for the benefits has occurred, please let us know the changes and the effective date of these changes. Based on what the changes are, and the effective date of the changes, a bridge report may be necessary if it is considered a material change. A bridge report is prepared using the census and other data from the last valuation. It brings the liability forward one year based upon the new benefit structure for reporting for the current fiscal year end. The bridge report takes the place of table updates and is only valid for one reporting period. This saves you and your organization a great deal of time an expense to run a full new valuation in a short timeframe. It also allows the organization to keep the same biannual schedule of valuations and table updates.