About GASB
Currently, most public entities use a pay-as-you-go accounting approach in which the costs of OPEB benefits are not reported until the employee retires and commences benefits. GASB Statement 45 now calls for accrual basis accounting that requires an actuarial valuation of the plan benefits. For many, this will result in a significant increase in the expenses and liabilities that a public employer is required to recognize in their financial statements.
SMART assists public entities in preparing for and complying with GASB Statement 45 by valuing the OPEB liabilities,providing assistance to interpret and understand the results and developing strategies to manage the costs.