Other Post-Employment Benefits (OPEB)

Other post-employment benefits (OPEB) include, but are not limited to, postretirement health care; life insurance provided outside a pension plan to retirees; and other welfare benefits such as tuition assistance, day care, legal services, and housing subsidies provided after retirement. Private employers subject to GAAP accounting and public sector employers are required to expense these benefits on an accrual basis during the period of an employee’s active service, and to report a liability for the “accrued” portion of these benefits on their balance sheets. Because these are actuarial calculations, companies providing these benefits need to retain an actuary qualified in these specialized calculations. Watkins Ross has a dedicated team providing the specialized services needed for computing OPEB liabilities.