There are four types of employee benefits under Section 28, these include: short-term employee benefits, post-employment benefits; other long-term benefits; and termination benefits

Short-term benefits include wages and salaries; and holiday and sick pay. Post-employment are benefits such as pensions and medical care. Long-term benefits include absences and disabilities and termination benefits are benefits provided to employess for ending their employment or to encourage voluntary redundancy.

Under old UK GAAP there was no specific standard governing employee benefits as FRS 17 only dealt with retirement benefits.

By completing this module you will be able to:

• identify employee benefits to understand the benefits under the scope of Section 28 in FRS 102;
• understand the differences between previous UK GAAP and the wider scope of FRS 102;
• apply the accounting to ensure employee benefits are fairly stated in the accounts; and
• calculate complex benefits such as termination benefits for correct inclusion in the accounts.

This CPD module takes 15 minutes to complete and is followed by a short quiz to ensure thorough learning. Any CPD learning is also automatically added to Your CPD Tracker.

The CPD course lecturer is Steve Collings FMAAT FCCA, audit and technical partner at Leavitt Walmsley Associates Ltd where he trained and qualified. Collings became a member of the Association of Accounting Technicians (AAT) in 2001 and qualified as a chartered certified accountant in 2005.

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