For employers, what should not appear on their statements of position regarding pension benefits?

The statement of position regarding pension benefits for employers typically highlights the financial status of the pension plan, including how funded the plan is. The funded actuarial accrued liability represents the portion of pension benefits that are currently secured through existing plan assets, while the total pension obligation is a broader figure indicating the total amount the plan owes to retirees and beneficiaries.

One element that would not appear on the statement of position is the unfunded actuarial accrued liability. This represents the shortfall between the plan's obligations and the assets set aside to fulfill those obligations. Although this figure is critical for assessing the overall health of a pension plan, it does not typically appear on a statement of position. Instead, the statement tends to focus on the funded aspects of the pension, providing clearer insights into the employer's current funding status without highlighting the deficits that could create confusion or uncertainty.

Furthermore, the employer’s retirement costs, which encompass the expenses directly associated with managing the retirement plans, and the funded actuarial accrued liability or the total pension obligation are key financial metrics that aid in understanding the employer's accrued costs and commitments to its employees. Thus, presenting these figures provides a more complete picture of the pension plan’s financial standing, while the unfunded actuarial accrued liability is often considered