The staff of the Governmental Accounting Standards Board has created a
GASB’s new standards will affect the way that states and municipalities account for and contribute to their public employee pension plans (see
Questions include:
• Do the new standards establish requirements for how governments should fund their pensions?
• Will governments have to pay more each year for pensions because of the new standards?
• Do the GASB standards allow governments to make their liabilities look smaller than they really are?
• Has the GASB determined that state and local government pension plans are underfunded by $3 trillion?
The GASB staff has also created a