Pension Entries

Ex-5

(Pension Entries) Assume that the actuarially required pension plan contribution for a county for its general government employees is $8,000,000. Compute the pension expenditures to be reported in each of the following situations:

1. The county contributed $5,000,000 to the pension plan. Its unfunded pension liability increased by $3,000,000 (all classified as un matured).

2. The county contributed $4,500,000 to the pension plan. Its unfunded pension liability increased by $3,500,000 (all classified as un matured).

3. The county contributed $4,200,000 to the pension plan. The matured portion of its unfunded pension liability increased $150,000.

4. The county contributed $9,000,000 to the pension plan. The matured portion of its unfunded pension liability decreased $200,000.

C6-2

(OPEB and Claims and Judgments—New York City) The City of New York, New York, reported the following liabilities, among others, at June 30 of the years indicated. The amounts in the table are stated in thousands of dollars.

Liability for 20X2 20X3 Schedule Reduction by June 30, 20x4

Judgments and claims $4,810,471 $5018,908 $1,360,426

Vacation and sick leave $2,593,691 $2,840,213 $247,937

Pensions $806,200 $764,000 —

Other post employment $50,000,000 $53,507,451 $1,400,000

benefits (OPEB)

None of these liabilities were due and payable at the indicated dates. The amounts the city paid during the 20X2–20X3 fiscal year for each of these categories are presented in the following table.

20X2-20X3 Payments for

Judgments and claims $516,801

Vacation and sick leave $247,937

Pensions $4,015,000

Other post employment $2,182,871

benefits (OPEB)

Required