# ASC 965-40-35: Plan Accounting—Health and Welfare Benefit Plans — Terminating Plans — 35 Subsequent Measurement

Source: FASB Accounting Standards Codification, Basic View

[Read online](https://asc.understandingaccounting.org/asc/965/40/#35-subsequent-measurement)

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## ASC 965-40-35: 35 Subsequent Measurement

[Read section](https://asc.understandingaccounting.org/asc/965/40/#35-subsequent-measurement)

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##### [965-40-35-1](https://asc.understandingaccounting.org/asc/965/40/#965-40-35-1)

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[Paragraph superseded by Accounting Standards Update No. 2013-07](https://asc.understandingaccounting.org/updates/asu-2013-07/).

##### [965-40-35-2](https://asc.understandingaccounting.org/asc/965/40/#965-40-35-2)

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For [terminating plans](https://asc.understandingaccounting.org/glossary/t/#terminating-plan "All plans about which a termination decision has been made regardless of whether the terminating plan will be replaced."), benefit obligations shall be determined using the liquidation basis of accounting (see Subtopic 205-30), and their carrying value may differ from the actuarial present value of benefit obligations reported for an ongoing plan. Consideration shall be given upon the determination that liquidation is imminent to whether any or all [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.") become vested.