# ASC 715-10: Compensation—Retirement Benefits — Overall Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/715/10/) Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-10T00:58:45.119Z to 2026-09-10T00:58:58.564Z Record version: sha256:df34a95141e5bcfee5034127898c3b00d75efa278e1009a908a1bf4d48f5d711 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 715-10: Compensation—Retirement Benefits — Overall ### Machine-generated study aids ```json { "summary": "ASC 715-10 is the Overall subtopic that sets the objectives and pervasive scope for employer accounting for pension, other postretirement, and certain special or contractual termination benefits. Its core premise is that a benefit plan is an exchange of deferred compensation for employee service, so the employer's obligation is incurred as services are rendered and cost is recognized over the employee service periods. Because the original content was built on an expense recognition model, most operative guidance sits in the Subsequent Measurement Sections of Subtopics 715-20, 715-30, 715-60, 715-70, and 715-80.", "key_points": [ "A benefit plan is an exchange between employer and employee: retirement benefits are deferred compensation, not gratuities, and the obligation is incurred when services are rendered (715-10-05-6).", "Objectives are to recognize net periodic pension cost and net periodic other postretirement benefit cost as employees render service, to reflect the obligation on the balance sheet based on the mutual understanding of plan terms, to disclose relevant information, and to require uniform measurement methods for similar plans (715-10-10-1).", "The Topic applies to all employers, including NFPs (which also apply Subtopic 958-715), whether or not the obligation is funded (715-10-15-2).", "Scope covers any arrangement in substance a pension or other postretirement plan regardless of form or funding, unwritten plans discernible from a practice of paying benefits or oral representations, deferred compensation contracts that taken together are equivalent to such a plan, and health and welfare benefits for employees on disability retirement (715-10-15-3).", "Scope also covers settlements of all or part of the obligation, plan curtailments, and pension/OPEB provided as special or contractual termination benefits not addressed elsewhere (715-10-15-4).", "Excluded are individually negotiated contracts with selected employees, which are accounted for individually under Topic 710, and postemployment benefits paid before retirement (e.g., layoff benefits) unless payable from a pension or OPEB plan, which fall under Topic 712 (715-10-15-5).", "There are no special provisions for non-U.S. plans; applicability turns on the nature of the obligation and the terms defining benefits, not on funding, payment form, or whether benefits are required by law or custom (715-10-15-6 through 15-7); the Topic does not change Topic 960 plan-level reporting (715-10-15-8)." ], "categories": [ "Compensation and benefits", "Recognition", "Subsequent measurement", "Disclosure" ], "audience_level": "introductory", "student_note": "This is the gateway subtopic: it tells you which Subtopic to use (defined benefit pension, OPEB, defined contribution, multiemployer) and, importantly, that substance over form governs scope—an unwritten practice of paying retirement benefits is a plan. A common misunderstanding is assuming unfunded or foreign arrangements escape ASC 715, or that pre-retirement severance benefits belong here rather than in Topic 712.", "related_topics": [ "715-20", "715-30", "715-60", "710", "712", "960" ], "key_concepts": [ "deferred compensation exchange", "net periodic pension cost", "net periodic other postretirement benefit cost", "benefit plan scope", "unwritten plan", "settlement and curtailment", "expense recognition model", "funded status" ] } ``` Source downloaded (UTC): 2026-09-10T00:58:45.119Z to 2026-09-10T00:58:45.119Z Record version: sha256:cf3cd782844e6e3f94783334487a840578f4de313c7a2384c85ea6f4e422ec0e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 715-10-00: 00 Status [Read section](https://asc.understandingaccounting.org/asc/715/10/#00-status) SEC content: no ##### [715-10-00-1](https://asc.understandingaccounting.org/asc/715/10/#715-10-00-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:45.119Z to 2026-09-10T00:58:45.119Z Record version: sha256:a08727401b6c16714a340d162390f3b1b03a4e9af365886d8070bb041a087cae Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following table identifies the changes made to this Subtopic.
ParagraphActionAccounting Standards UpdateDate
715-10-05-2AmendedAccounting Standards Update No. 2017-0703/10/2017
715-10-05-4SupersededAccounting Standards Update No. 2017-0703/10/2017
715-10-05-8SupersededAccounting Standards Update No. 2017-0703/10/2017
715-10-05-10SupersededAccounting Standards Update No. 2017-0703/10/2017
715-10-15-8AmendedAccounting Standards Update No. 2009-0207/01/2009
715-10-65-1AddedAccounting Standards Update No. 2015-0404/15/2015
Source downloaded (UTC): 2026-09-10T00:58:48.766Z to 2026-09-10T00:58:48.766Z Record version: sha256:b045d6e94f8be78c07643cfd076648c4ef4b477249952386a94da50138f9d6b1 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 715-10-05: 05 Overview and Background [Read section](https://asc.understandingaccounting.org/asc/715/10/#05-overview-and-background) SEC content: no ##### [715-10-05-1](https://asc.understandingaccounting.org/asc/715/10/#715-10-05-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:48.766Z to 2026-09-10T00:58:48.766Z Record version: sha256:2fcd9e7ecd30644657395d8e034a9f9d98003a82a5440a38e37d0a2384dfee65 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The Compensation—Retirement Benefits Topic establishes standards of financial accounting and reporting for an employer that offers pension, other postretirement, and certain special or contractual termination benefits to its employees. ##### [715-10-05-2](https://asc.understandingaccounting.org/asc/715/10/#715-10-05-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:48.766Z to 2026-09-10T00:58:48.766Z Record version: sha256:1ba23c50d22a1c5f1e11416658eedc43ee8670beaeb2bae59bc95c5fd02dd38a Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Topic contains the following Subtopics: 1. a Overall (Subtopic 715-10) 2. b Defined Benefit Plans—General (Subtopic 715-20) 3. c Defined Benefit Plans—Pension (Subtopic 715-30) 4. cc Defined Benefit Plans—Other Postretirement (Subtopic 715-60)  5. d Defined Contribution Plans (Subtopic 715-70)  6. e Multiemployer Plans (Subtopic 715-80)  7. f [Subparagraph superseded by Accounting Standards Update No. 2017-07](https://asc.understandingaccounting.org/updates/asu-2017-07/). ##### [715-10-05-3](https://asc.understandingaccounting.org/asc/715/10/#715-10-05-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:48.766Z to 2026-09-10T00:58:48.766Z Record version: sha256:ce9087dedffbc26f0f516c98a0457d95fed797d5140c55d72d997cdd8bde99c1 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Throughout the Codification, content is structured and authored using an asset and liability model as its underlying premise. However, the original content used to populate this Topic was based on an expense recognition model rather than an asset and liability model. Because the expense recognition model focuses primarily on remeasurement, the majority of the guidance throughout this Topic is contained in the Subsequent Measurement Sections of the applicable Subtopics. ##### [715-10-05-4](https://asc.understandingaccounting.org/asc/715/10/#715-10-05-4) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:48.766Z to 2026-09-10T00:58:48.766Z Record version: sha256:9ae05df5f4baf48ec2761f914c97d8a5b09648fe0d07d811216dca2a4f19d379 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2017-07](https://asc.understandingaccounting.org/updates/asu-2017-07/). ##### [715-10-05-5](https://asc.understandingaccounting.org/asc/715/10/#715-10-05-5) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:48.766Z to 2026-09-10T00:58:48.766Z Record version: sha256:fb638dabb6edf82aff8f25ca47bcfb88eeedf36788ea50f23fe5e77c8c9ac35d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph not used](https://asc.understandingaccounting.org/updates/page-1833002/). ##### [715-10-05-6](https://asc.understandingaccounting.org/asc/715/10/#715-10-05-6) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:48.766Z to 2026-09-10T00:58:48.766Z Record version: sha256:344b6b81b3fa966db50ea4ec3e689e282058dfa32e5d4936a9d0c69a811982a9 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in this Topic is derived from the basic idea that a benefit plan is an exchange between the employer and the employee. In exchange for services provided by the employee, the employer promises to provide, in addition to current wages and other benefits, an amount of retirement income or benefit. It follows from that basic view that benefits are not gratuities but instead are part of an employee's compensation, and because payment is deferred, the benefit plan is a type of deferred compensation. It also follows that the employer's obligation for that compensation is incurred when the services are rendered. ##### [715-10-05-7](https://asc.understandingaccounting.org/asc/715/10/#715-10-05-7) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:48.766Z to 2026-09-10T00:58:48.766Z Record version: sha256:eefb142099853f02c7c40f3930a2111754d7d1baf7b07c78cf4ee01bb55e6899 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A benefit plan is an arrangement that is mutually understood by an employer and its employees, whereby an employer undertakes to provide its current and former employees with benefits after they retire in exchange for the employees' services over a specified period of time, upon attaining a specified age while in service, or both. Benefits may commence immediately upon termination of service or may be deferred until retired employees attain a specified age. ##### [715-10-05-8](https://asc.understandingaccounting.org/asc/715/10/#715-10-05-8) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:48.766Z to 2026-09-10T00:58:48.766Z Record version: sha256:2c115a3833d5a8086b6b1854f2c315d80cafbd0b0e28e792d6e39cbff0ccf6aa Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2017-07](https://asc.understandingaccounting.org/updates/asu-2017-07/). ##### [715-10-05-9](https://asc.understandingaccounting.org/asc/715/10/#715-10-05-9) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:48.766Z to 2026-09-10T00:58:48.766Z Record version: sha256:1b4cd47ab17d37107717eb54217b96e5c17aafdc9f5bbf406c2aaf545158976c Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Because the obligation to provide benefits arises as employees render the services necessary to earn the benefits pursuant to the terms of the plan, this Topic provides guidance regarding when the cost of providing the benefits should be recognized over those employee service periods. ##### [715-10-05-10](https://asc.understandingaccounting.org/asc/715/10/#715-10-05-10) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:48.766Z to 2026-09-10T00:58:48.766Z Record version: sha256:30ff17ffe2dfcc36bf27cf71bf1e1124c02430eb4810b62199a43ef28048f688 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2017-07](https://asc.understandingaccounting.org/updates/asu-2017-07/). Source downloaded (UTC): 2026-09-10T00:58:51.957Z to 2026-09-10T00:58:51.957Z Record version: sha256:43a1d08d0f26441f54a585599128e65c16f625a8d9bf0386c0fa838c321f5921 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 715-10-10: 10 Objectives [Read section](https://asc.understandingaccounting.org/asc/715/10/#10-objectives) SEC content: no ##### [715-10-10-1](https://asc.understandingaccounting.org/asc/715/10/#715-10-10-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:51.957Z to 2026-09-10T00:58:51.957Z Record version: sha256:74c8ef1a36fbbdd10ac2660205515a0fc4e9e7b31ed2801f916b837475f75058 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The objectives of this Topic are as follows: 1. a To enhance the relevance and representational faithfulness of the employer's reported results of operations by recognizing net periodic pension cost and net periodic other postretirement benefit cost as employees render the services necessary to earn their pension and other postretirement benefits 2. b To enhance the relevance and representational faithfulness of the employer's statement of financial position by including a measure of the obligation to provide pension and other postretirement benefits based on a mutual understanding between the employer and its employees of the terms of the underlying plan 3. c To enhance the ability of users of the employer's financial statements to understand the extent and effects of the employer's undertaking to provide pension and other postretirement benefits to its employees by disclosing relevant information about the obligation and cost of the pension and other postretirement benefit plans and how those amounts are measured 4. d To improve the understandability and comparability of amounts reported by requiring employers with similar plans to use the same method to measure their pension and other postretirement benefit obligations and the related costs of the postretirement benefits. Source downloaded (UTC): 2026-09-10T00:58:55.606Z to 2026-09-10T00:58:55.606Z Record version: sha256:d6f5d140e07834928f86aaac578723f1c3e8cbec1ce54ce96c83419e18e8460d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 715-10-15: 15 Scope and Scope Exceptions [Read section](https://asc.understandingaccounting.org/asc/715/10/#15-scope-and-scope-exceptions) SEC content: no #### Overall Guidance ##### [715-10-15-1](https://asc.understandingaccounting.org/asc/715/10/#715-10-15-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:55.606Z to 2026-09-10T00:58:55.606Z Record version: sha256:c576e5f5c8ab6a6c4353a55ef885f4a83a7bda5ad415a66f89bbc7ad8a9688e7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The Scope Section of the Overall Subtopic establishes the pervasive scope for all Subtopics of the Compensation—Retirement Benefits Topic. Unless explicitly addressed within specific Subtopics, the following scope guidance applies to all Subtopics of the Compensation—Retirement Benefits Topic. #### Entities ##### [715-10-15-2](https://asc.understandingaccounting.org/asc/715/10/#715-10-15-2) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:55.606Z to 2026-09-10T00:58:55.606Z Record version: sha256:ae550a86b3ffb64c58ebd7a941b52ce392b8cf5b9dd21b9b35a06a13e3cb6774 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in the Compensation—Retirement Benefits Topic applies to all employers, including not-for-profit entities (NFPs), that offer pension or other postretirement benefits to their employees, regardless of whether the benefit obligation is funded. NFPs should refer to Subtopic 958-715 when applying the provisions of this Topic. #### Transactions ##### [715-10-15-3](https://asc.understandingaccounting.org/asc/715/10/#715-10-15-3) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:55.606Z to 2026-09-10T00:58:55.606Z Record version: sha256:78e190aab00e6bd2e6d4d8e290180035a48b98ad0979cd5063498c4e7d5c35e3 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in the Compensation—Retirement Benefits Topic applies to the following types of benefit arrangements: 1. a Any arrangement that is in substance a pension or other postretirement benefit plan, regardless of its form or the means or timing of its funding 2. b Written plans and unwritten plans whose existence is discernible either from a practice of paying pension or other postretirement benefits or from oral representations made to current or former employees 3. c Deferred compensation contracts with individual employees if those contracts, taken together, are equivalent to a plan that provides pension or other postretirement benefits 4. d Health and other welfare benefits expected to be provided to employees deemed to be on a disability retirement. ##### [715-10-15-4](https://asc.understandingaccounting.org/asc/715/10/#715-10-15-4) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:55.606Z to 2026-09-10T00:58:55.606Z Record version: sha256:59c2eb28384c5c98cc64e529ed3576b3312b7c726ea70d9475dc28c1148206b8 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in this Topic also applies to settlement of all or a part of an employer's pension or other postretirement benefit obligation or curtailment of a pension or other postretirement benefit plan. The guidance applies to employers that provide pension or other postretirement benefits as part of a special termination benefit or special or contractual termination benefits not otherwise addressed in other Subtopics (for example, benefits paid at or before retirement and not paid out of a pension or other postretirement plan). ##### [715-10-15-5](https://asc.understandingaccounting.org/asc/715/10/#715-10-15-5) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:55.606Z to 2026-09-10T00:58:55.606Z Record version: sha256:40aea5bd01451131303c689d9db4a82e446a90f1bf4c62421f9b5e4b2913d825 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in this Topic does not apply to the following types of benefit arrangements: 1. a An employer's practice of providing pension or other postretirement benefits to selected employees under individual contracts with specific terms determined on an individual-by-individual basis. Those contracts shall be accounted for individually, following the terms of the contract. See Topic 710. 2. b Postemployment benefits paid after employment but before retirement (for example, layoff benefits), unless payable from a pension or other postretirement plan. See Topic 712. #### Other Considerations ##### [715-10-15-6](https://asc.understandingaccounting.org/asc/715/10/#715-10-15-6) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:55.606Z to 2026-09-10T00:58:55.606Z Record version: sha256:b70d237790f80ebc96ae0bebe9ebd7dbf810ff202ba12f228262a850893ff104 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For purposes of preparing financial statements in accordance with accounting principles generally accepted in the United States, the Compensation—Retirement Benefits Topic includes no special provisions applicable to pension or other postretirement benefit plans or arrangements outside the United States. To the extent that those arrangements are in substance similar to pension or other postretirement benefit plans in the United States, they are subject to the provisions of this Topic. ##### [715-10-15-7](https://asc.understandingaccounting.org/asc/715/10/#715-10-15-7) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:55.606Z to 2026-09-10T00:58:55.606Z Record version: sha256:ff8afc49ae64e96ed5bbcd71d681b23fac4ff8c8ef6f23b8bd9285d5eb9e225a Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The applicability of this Topic to those plans or arrangements is determined by the nature of the obligation and by the terms or conditions that define the amount of benefits to be paid, not by whether or how a plan is funded, whether benefits are payable at intervals or as a single amount, or whether the benefits are required by law or custom or are provided under a plan the employer has elected to sponsor. ##### [715-10-15-8](https://asc.understandingaccounting.org/asc/715/10/#715-10-15-8) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:55.606Z to 2026-09-10T00:58:55.606Z Record version: sha256:9e517e38bb5865c2e8733905c01ae8daa13ff9191fa7b5e06e636dc161b220f1 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Topic does not change or supersede any of the requirements set forth in Topic 960 for the financial statements of a defined benefit pension plan. Source downloaded (UTC): 2026-09-10T00:58:58.564Z to 2026-09-10T00:58:58.564Z Record version: sha256:b98f975807fbe5f5c9cc6f566b74d95a75160384ae6d37f0b0d0d8001b02f9c8 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 715-10-65: 65 Transition and Open Effective Date Information [Read section](https://asc.understandingaccounting.org/asc/715/10/#65-transition-and-open-effective-date-information) SEC content: no ##### [715-10-65-1](https://asc.understandingaccounting.org/asc/715/10/#715-10-65-1) Pending content: no Source downloaded (UTC): 2026-09-10T00:58:58.564Z to 2026-09-10T00:58:58.564Z Record version: sha256:1573f9bcdab9f9e7281e2e3366a7ac9340e8ab0714677656e34b3d69449576b1 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraph superseded on 06/20/2018 after the end of the transition period stated in Accounting Standards Update No. 2015-04, _Compensation—Retirement Benefits (Topic 715): Practical Expedient for the Measurement Date of an Employer's Defined Benefit Obligation and Plan Assets_.