# ASC 965-30-45: Plan Accounting—Health and Welfare Benefit Plans — Plan Benefit Obligations — 45 Other Presentation Matters Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/965/30/#45-other-presentation-matters) 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): 2026-09-10T02:25:24.638Z to 2026-09-10T02:25:24.638Z Record version: sha256:0b264633c4c4ba2171a94efc49f877e8fa5ecf3ac0f392577a27c892c375610f Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 965-30-45: 45 Other Presentation Matters [Read section](https://asc.understandingaccounting.org/asc/965/30/#45-other-presentation-matters) SEC content: no #### Classifications of Benefit Obligations ##### [965-30-45-1](https://asc.understandingaccounting.org/asc/965/30/#965-30-45-1) Pending content: no Source downloaded (UTC): 2026-09-10T02:25:24.638Z to 2026-09-10T02:25:24.638Z Record version: sha256:7e0b0600d2ed14d4ce904d67fcc04b58925628fb1014616dffb5046ecc2a0fec Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. To the extent they exist, the amounts of benefit obligations in each of the three major classifications identified in paragraph [965-30-35-1](https://asc.understandingaccounting.org/asc/965/30/#965-30-35-1) shall be shown as separate line items in the financial statements or notes to financial statements. Regardless of the format selected, the plan financial statements shall present the benefit obligations information in its entirety in the same location. ##### [965-30-45-2](https://asc.understandingaccounting.org/asc/965/30/#965-30-45-2) Pending content: no Source downloaded (UTC): 2026-09-10T02:25:24.638Z to 2026-09-10T02:25:24.638Z Record version: sha256:69ae189dff570bc39c10dcdb35ed76ca2933742514f1f585cfceb3c276f0d370 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. In an insured health and welfare benefit plan, claims payable and currently due and claims incurred but not yet reported to the plan will be paid by the insurance entity. Consequently, they should be excluded from the benefit obligations of the plan. Benefit obligations of a self-funded plan shall present the amount of both of the following: 1. a Claims payable and currently due for active and retired participants, dependents, and beneficiaries 2. b Incurred but not reported claims for active participants. ##### [965-30-45-3](https://asc.understandingaccounting.org/asc/965/30/#965-30-45-3) Pending content: no Source downloaded (UTC): 2026-09-10T02:25:24.638Z to 2026-09-10T02:25:24.638Z Record version: sha256:68ae97ca1cbe9c151a85574db438e8df21fc0b7740e503f1f1183c21a774e93b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Incurred but not reported claims for retired participants are included in the postretirement benefit obligation, if separately calculated in accordance with paragraph [965-30-35-1(a)](https://asc.understandingaccounting.org/asc/965/30/#965-30-35-1). #### Changes in Benefit Obligations ##### [965-30-45-4](https://asc.understandingaccounting.org/asc/965/30/#965-30-45-4) Pending content: no Source downloaded (UTC): 2026-09-10T02:25:24.638Z to 2026-09-10T02:25:24.638Z Record version: sha256:ea2f5adcaff1a9fb05aaba9702a25e9e4dfffd93e72fa4cf9e0d0058ba1b6c15 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Information regarding changes in the benefit obligations within a plan period shall be presented to identify significant factors affecting year-to-year changes in benefit obligations. ##### [965-30-45-5](https://asc.understandingaccounting.org/asc/965/30/#965-30-45-5) Pending content: no Source downloaded (UTC): 2026-09-10T02:25:24.638Z to 2026-09-10T02:25:24.638Z Record version: sha256:5b7145ce805c51ba1ebe153ca4a9a18cf6e8237f5c456e06bac028bf2c4ce308 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Changes in each of the three major classifications of benefit obligations (see paragraph [965-30-35-1](https://asc.understandingaccounting.org/asc/965/30/#965-30-35-1)) shall be presented in the body of the financial statements or in the notes to financial statements; the information may be presented in either a reconciliation or narrative format. Providing such information in the following categories will generally be sufficient: 1. a Claims payable, claims incurred but not reported, and premiums due to insurance entities 2. b [Accumulated eligibility credits](https://asc.understandingaccounting.org/glossary/a/#accumulated-eligibility-credits "Plan participants may qualify for a benefit in which eligibility credits or hours accumulate and result in the plan covering payment of insurance premiums or benefits for a period of time for those participants who have accumulated a sufficient number of such credits or hours to be eligible for the credits. Eligible participants are provided with insurance coverage during periods of unemployment, when employer contributions to the plan would not otherwise provide coverage or benefits. The accumulated eligibility credits are sometimes referred to as bank of hours.") and postemployment [benefits](https://asc.understandingaccounting.org/glossary/b/#benefits "The monetary or in-kind benefits or benefit coverage to which participants may be entitled under a pension plan or a health and welfare plan (which can include active, terminated, and retired employees or their dependents or beneficiaries). Examples of benefits may include, but are not limited to, health care benefits, life insurance, legal, educational, and advisory services, pension benefits, disability benefits, death benefits, and benefits due to termination of employment."), net of amounts currently payable 3. c Postretirement benefits for the following: 1. 1 Retired plan participants, including their beneficiaries and covered dependents, net amounts currently payable, and claims incurred but not reported 2. 2 Other plan participants fully eligible for benefits 3. 3 Plan participants not yet fully eligible for benefits. ##### [965-30-45-6](https://asc.understandingaccounting.org/asc/965/30/#965-30-45-6) Pending content: no Source downloaded (UTC): 2026-09-10T02:25:24.638Z to 2026-09-10T02:25:24.638Z Record version: sha256:c3b9e2f6d208b314fce1200867686284be2c3879a0ad0a2f0e86fbc18b486725 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Minimum disclosure regarding changes in benefit obligations shall include the significant effects of all of the following: 1. a Plan amendments 2. b Changes in the nature of the plan (mergers or spinoffs) 3. c Changes in actuarial assumptions (health care cost-trend rate or interest rate). ##### [965-30-45-7](https://asc.understandingaccounting.org/asc/965/30/#965-30-45-7) Pending content: no Source downloaded (UTC): 2026-09-10T02:25:24.638Z to 2026-09-10T02:25:24.638Z Record version: sha256:647e0219a2ea9708f2ee22dd2ad1eb81e68501ad0ab0b40e9db40b50b8a36489 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Changes in actuarial assumptions are to be considered as changes in accounting estimates and, therefore, previously reported amounts shall not be restated. The significant effects of other factors may also be identified. These include, for example, the following: 1. a Benefits accumulated. Actuarial experience gains or losses may be included with the effects of additional benefits accumulated rather than separately disclosed. If the effects of changes in actuarial assumptions cannot be separately determined, those effects shall be included in benefits accumulated and described accordingly. 2. b The effects of the time value of money (for interest). 3. c Benefits paid. ##### [965-30-45-8](https://asc.understandingaccounting.org/asc/965/30/#965-30-45-8) Pending content: no Source downloaded (UTC): 2026-09-10T02:25:24.638Z to 2026-09-10T02:25:24.638Z Record version: sha256:153ba0ed779876ecf2fee752c808688587ae084a79d4727d8727cb74a685e1f1 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If presented, benefits paid shall not include benefit payments made by an insurance entity pursuant to a contract that is excluded from [plan assets](https://asc.understandingaccounting.org/glossary/p/#plan-assets "Assets—usually stocks, bonds, and other investments (except certain insurance contracts as noted in paragraph 715-60-35-109)—that have been segregated and restricted (usually in a trust) to be used for a health and welfare plan (which can include active, terminated, and retired employees or their dependents or beneficiaries). The amount of plan assets includes amounts contributed by the employer, and by plan participants for a contributory plan, and amounts earned from investing the contributions, less benefits, income taxes, and other expenses incurred. Plan assets ordinarily cannot be withdrawn by the employer except under certain circumstances when a plan has assets in excess of obligations and the employer has taken certain steps to satisfy existing obligations. Securities of the employer held by the plan are includable in plan assets provided they are transferable. Assets not segregated in a trust, or otherwise effectively restricted, so that they cannot be used by the employer for other purposes are not plan assets, even though the employer may intend that those assets be used to provide health and welfare benefits, which may include postretirement benefits. Those assets shall be accounted for in the same manner as other employer assets of a similar nature and with similar restrictions. If a plan has liabilities other than for benefits, those nonbenefit obligations are considered as reductions of plan assets. Amounts accrued by the employer but not yet paid to the plan are not plan assets. If a trust arrangement explicitly provides that segregated assets are available to satisfy claims of creditors in bankruptcy, such a provision would effectively permit those assets to be used for other purposes at the discretion of the employer. It is not necessary to determine that a trust is bankruptcy-proof for the assets of the trust to qualify as plan assets. However, assets held in a trust that explicitly provides that such assets are available to the general creditors of the employer in the event of the employer's bankruptcy would not qualify as plan assets."). However, amounts paid by the plan to an insurance entity pursuant to such a contract (including purchases of annuities with amounts allocated from existing investments with the insurance entity) shall be included in benefits paid. Because of the use of different actuarial assumptions, the amount paid by the plan to an insurance entity may be different from the previous measure of the actuarial present value of the related accumulated plan benefits. If that information is available, it shall be presented as an actuarial experience gain or loss. If only the minimum disclosure is presented, presentation in a statement format will necessitate an additional unidentified other category to reconcile the initial and ultimate amounts.