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what is the difference between long term benefits and post employment benefits

Avatar 37a3bd7bc7328f0ead2c0f6f635dddf60615e676e6b4ddf964144012e529de45 asked

what is the difference between long term benefits and post employment benefits

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Avatar 37a3bd7bc7328f0ead2c0f6f635dddf60615e676e6b4ddf964144012e529de45 answered

**Post-Employment Benefits** Post-employment benefits include items such as various pensions, retirement benefits, post-employment life insurance and post-employment medical care. There are 2 basic types of post-employment benefits: Defined contribution plans Defined benefit plans It is absolutely crucial to know the difference between the two and to classify your post-employment benefit correctly, as the accounting treatment is totally different for each of them. Defined Contribution Plans Defined contribution plans are post-employment benefit plans under which an entity pays fixed contributions into a separate entity (a fund) and will have no legal or constructive obligation to pay further contributions if the fund does not hold sufficient assets to pay all employee benefits relating to employee service in the current and prior periods. **Other long-term benefits** Other long-term benefits include the following items (if not expected to be settled within 12 months after the end of the period in which the employee renders the related service): long-term paid absences such as long-service or sabbatical leave; jubilee or other long-service benefits; long-term disability benefits; profit-sharing and bonuses; and deferred remuneration.

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Avatar 37a3bd7bc7328f0ead2c0f6f635dddf60615e676e6b4ddf964144012e529de45 answered

Long-term benefits all employee benefits other than short-term employee benefits, post-employment benefits and termination benefits. Long-term benefits include the following items (if not expected to be settled within 12 months after the end of the period in which the employee renders the related service): long-term paid absences such as long-service or sabbatical leave; jubilee or other long-service benefits; long-term disability benefits; profit-sharing and bonuses; and deferred remuneration.

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Avatar 37a3bd7bc7328f0ead2c0f6f635dddf60615e676e6b4ddf964144012e529de45 answered

Dear friend, As per the AS Employees benefits **Long-term benefits** all employee benefits other than short-term employee benefits, post-employment benefits and termination benefits. Long-term benefits include the following items (if not expected to be settled within 12 months after the end of the period in which the employee renders the related service): long-term paid absences such as long-service or sabbatical leave; jubilee or other long-service benefits; long-term disability benefits; profit-sharing and bonuses; and deferred remuneration. **Post-employment benefit** employee benefits (other than termination benefits and short-term employee benefits) that are payable after the completion of employment. Post-employment benefits include items such as various pensions, retirement benefits, post-employment life insurance and post-employment medical care. There are 2 basic types of post-employment benefits: Defined contribution plans Defined benefit plans It is absolutely crucial to know the difference between the two and to classify your post-employment benefit correctly, as the accounting treatment is totally different for each of them.

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