Deficit: Difference between revisions

Revision as of 23:51, 14 May 2020

1. Pensions - defined benefit schemes.

The excess of liabilities over assets in a funded Defined benefit pension scheme; also known as under-funding.

Example

Pension liabilities = 100.

Pension assets = 90.

The deficit would be:

100 - 90

= 10.

(Not to be confused with the percentage funding level which in this example would be 90 / 100 = 90%.)

Relevant accounting standards include Section 28 of FRS 102.

2. Public finances.

A government fiscal deficit, usually for a particular period, most often a year.

3.

Any financial shortfall, whether cumulative or for a single period.

@@ Line 1: / Line 1: @@
-. ''Pensions accounting.''
+. ''Pensions - defined benefit schemes.''
 The excess of liabilities over assets in a funded Defined benefit pension scheme; also known as under-funding.
-For example;
+'''Example'''
-if the liabilities were 100
+Pension liabilities = 100.
-and the assets were 90,
+Pension assets = 90.
-the deficit would be 100 - 90 = 10.
+The deficit would be:
-(Not to be confused with the percentage ''funding level'' which in this example would be 90/100 = 90%.)
+- 90
+= 10.
-. More generally, any financial shortfall.
+(Not to be confused with the percentage ''funding level'' which in this example would be 90 / 100 = 90%.)
+Relevant accounting standards include Section 28 of FRS 102.
+. ''Public finances.''
+A government fiscal deficit, usually for a particular period, most often a year.
+.
+Any financial shortfall, whether cumulative or for a single period.
 == See also ==
 * [[Amortisation]]
+* [[Debt]]
 * [[Fiscal deficit]]
-* [[FRS 17]]
+* [[FRS 102]]
 * [[Funding level]]
 * [[Multicurrency cross-border pooling]]
 * [[Multicurrency one-country pooling]]
 * [[Surplus]]
+[[Category:Accounting,_tax_and_regulation]]
+[[Category:Identify_and_assess_risks]]