Skip to content

Your Local Government Pension Scheme

Annual accounting reports FRS102/IAS19

Some employers need to show their pension liability in their annual accounts and if employers are unsure if this applies to them they should check with their auditor.

The assumptions used in these reports are prescriptive and very different to those used for the valuation and calculation of the employer contribution rate. Therefore the new employer may not start off fully funded on this basis and have a deficit.

Employers can ask the Fund actuary to use different assumptions, within the range permitted, providing they have taken actuarial advice first. The Fund actuary will charge a higher fee if bespoke assumptions are required.

To find out more about the cost of these report please see our schedule of fees.

The Academies’ financial reporting year ends at 31 August and, the Treasury and Investments team will need to know if you are required to show pension costs within your accounts in accordance with Financial Reporting Standard 102 (FRS102), in order to provide you with the information you require regarding this. If you are unclear on whether or not this is required then you should discuss this with your auditors.

The date of the Academy’s conversion does have an effect on whether you will receive a FRS report within the accounting year you convert. If conversion takes place on or before the 31 March you will automatically receive a report for the following 31 August. If conversion has taken place before 31 August you will need an accounting report regardless of how recently the conversion has taken place.