Date of Defense

Spring 4-20-2007



First Advisor

David Rozelle, Accountancy

Second Advisor

Kathleen Sinning, Accountancy

Third Advisor

Janette Gabel-Goes, Business Information Systems


401K, 401(k), financial statements, funding


Pension and post retirement benefit accounting rules are complex. Statement of Financial Accounting Standards (SFAS) 158 changes the way companies report employee retirement plans on their financial statements. SFAS 158 calls fro the funded status of defined benefit pension and other post retirement benefit plans to be reported in the financial statements. This change could have a significant effect on employers, employees, and investors. This means that if a plan is over-funded, the amount of over funding shows up as an asset. If the plan is under-funded, it creates a liability. Many plans are under-funded and have the potential to disrupt the economy as we knows it because they would affect the future allocation of resources. The rule, origins, and implications of SFAS 158 as well as the history of post retirement benefit and pension accounting are the subjects of this thesis. The author concludes that SFAS 158 improves pension and benefit accounting.

Access Setting

Honors Thesis-Campus Only