Document ID: chunk:federal_register_of_legislation:F2023C00383:front:0:p4
Version: federal_register_of_legislation:F2023C00383
Segment Type: other
Provision Reference: 
Character Range: 8795–11905

settled wholly before twelve months after the end of the annual reporting period in which the employees render the related services:
(i) wages, salaries and social security contributions;
(ii) paid annual leave and paid sick leave;
(iii) profit-sharing and bonuses; and
(iv) non-monetary benefits (such as medical care, housing, cars and free or subsidised goods or services) for current employees;
(b) post-employment benefits, such as the following:
(i) retirement benefits (eg pensions and lump sum payments on retirement); and
(ii) other post-employment benefits, such as post-employment life insurance and post-employment medical care;
(c) other long-term employee benefits, such as the following:
(i) long-term paid absences such as long-service leave or sabbatical leave;
(ii) jubilee or other long-service benefits; and
(iii) long-term disability benefits; and
(d) termination benefits.
6 Employee benefits include benefits provided either to employees or to their dependants or beneficiaries and may be settled by payments (or the provision of goods or services) made either directly to the employees, to their spouses, children or other dependants or to others, such as insurance companies.
7 An employee may provide services to an entity on a full-time, part-time, permanent, casual or temporary basis. For the purpose of this Standard, employees include directors and other management personnel.

Definitions
8 The following terms are used in this Standard with the meanings specified:

Definitions of employee benefits
 Employee benefits are all forms of consideration given by an entity in exchange for service rendered by employees or for the termination of employment.
 Short-term employee benefits are employee benefits (other than termination benefits) that are expected to be settled wholly before twelve months after the end of the annual reporting period in which the employees render the related service.
 Post-employment benefits are employee benefits (other than termination benefits and short-term employee benefits) that are payable after the completion of employment.
 Other long-term employee benefits are all employee benefits other than short-term employee benefits, post-employment benefits and termination benefits.
 Termination benefits are employee benefits provided in exchange for the termination of an employee's employment as a result of either:
(a) an entity's decision to terminate an employee's employment before the normal retirement date; or
(b) an employee's decision to accept an offer of benefits in exchange for the termination of employment.

Definitions relating to classification of plans
 Post-employment benefit plans are formal or informal arrangements under which an entity provides post-employment benefits for one or more employees.
 Defined contribution plans are post-employment benefit plans under which an entity pays fixed contributions into a separate entity (a fund) and will have no legal or constructive obligation to pay further contributions if the fund does not hold sufficient assets to pay all employee benefits relating to employee service