Schedule 10G - Supplementary Information on Employee Benefits

The report for this schedule has two pages: the first appears only in the Financial Statements, while the second appears in all cycles. The first page tracks the liabilities and expenses for employee future benefits and termination benefits. The second page tracks the amortization of the retirement gratuity and retirement health, dental and life insurance liabilities into compliance.

On the input form, there are four tabs of data entry in the Financial Statements: the first three relate to the first page of the report, and the fourth populates data for the second page of the report. In the Estimates and Revised Estimates, only the Amortization of Liabilities for Compliance tab is visible.

Page 1 - Supplementary Information on Retirement Benefits and Termination Benefits

Schedule 10G reports information relating to the actuarially determined liabilities and expenses of retirement benefits, post-employment benefits, compensated absences, termination benefits and pension benefits as outlined in Section 3250 and 3255 of the PSA Handbook. Any additional increase or decrease in the employee benefits liability from one year to the next represents the amount by which the employee future benefit expense recognized in the current year is greater than or less than the cash payment for the employee future benefits in the year. The employee future benefit expense is the amount that must be budgeted for in the board’s operating budget to provide for the benefits already earned by employees as determined by actuarial calculations.

Defined benefit plans to be included on this schedule include retirement gratuity plans; retirement health, dental, and life plans for retirees; post-employment benefits and some types of pension arrangements. Self-insured benefit obligations that arise from specific events from time to time (i.e. event driven benefits), such as obligations for worker’s compensation payments and long-term disability benefits are also reported on this schedule.

Exclude from this schedule any defined contribution plans (Section 3250.095) and OMERS, as it is a multi-employer defined benefit plan, which is treated as a defined contribution plan. Also exclude from this schedule any short-term employee benefit plans (i.e. health and dental benefits to current employees). The accounting for these plans is generally straightforward because no actuarial assumptions are required. Please note however that information on any defined contribution plans and OMERS are still required to be disclosed in the notes to the financial statements (PS 3250.100).

All amounts reported in this table should follow the accounting guidelines provided in PS 3250 and PS 3255 and should agree to the liabilities and expenses reported in the audited financial statements.

(Please refer to PSA Handbook Sections 3250 and 3255 for definitions of various terms related to this schedule.)

Column 01: Opening EFB Liability as of September 1

This column is preloaded based on the board-submitted prior year Financial Statements closing balances. School boards may adjust the values if required.

Column 02: Benefits Expenses

For retirement benefits, post-employment benefits and compensated absences that vest or accumulate, the amount reported in this column should include:

• All components of the retirement benefits expenditure/expense as described in PS 3250.019 including the current period benefit cost; cost of plan amendments; various other recognized amounts or amortized gains and losses as described in the section less any employee contributions during the period PLUS

• The retirement benefits interest expenditure/expense as described in PS 3250.020

(Note: Expenses related to post-employment benefits and compensated absences that vest or accumulate follow the guidelines set out in Section 3250.019 and Section 3250.020 of the PSA Handbook).

For event-driven benefits such as worker’s compensation or self-insured long-term disability payments and for termination benefits, the amount reported in this column should include:

• The expense recognized in the current year as per PS Section 3255.21-.34.

Column 03: Benefits Payments

Report the cash payments made in respect of the plans such that Opening Liability + Benefit Expenses – Benefits Payments = Closing Liability.

Column 05: Unamortized Actuarial Losses (Gains) as of August 31

Periodically actuarial gains and losses arise from changes in the accrued benefit obligation and the plan assets resulting from: (a) experience different from that assumed; or (b) changes in an actuarial assumption.

To the extent that these actuarial gains and losses have not yet been amortized there will be a difference between the liability reported on the Statement of Financial Position (column 04 on Schedule 10G) and the accrued benefit obligation (in column 06).

Report the unamortized amount of these gains and losses in column 05.

Column 06: Closing Accrued Benefit Obligation as of August 31

The accrued benefit obligation comes from the latest actuarial report and is “the value of retirement benefits attributed to services rendered by employees and former employees to the financial statement date” (PS 3250 Glossary).

Columns 07 to 12: Estimates of Expenses and Payments in Future Years

Provide estimates of the benefit expenses and payments (as described in columns 02 and 03 above) that will be incurred by the board over the next three years. This information should be based on the estimates provided to the boards in the actuarial report.

Column 21: Discount Rates

The discount rates used to arrive at the actuarial liability amounts reported as of August 31, 2025 should be input here. There are two cells available here to report each of the following:

• Discount Rate on Other Non-Pension Requirement Benefit Expense. This will include: the rate used for retirement gratuity plans, retirement health, dental and life insurance plans.

• Discount Rate on Other Employee Benefit Expense. This includes: post-employment benefits, compensated absences, long-term disability plans, workers compensation benefits and termination benefits.

Warning messages Warning_SC10G_1 and Warning_SC10G_2 ensure that a value is entered in each of these cells.

Page 2 - Amortization of Liabilities for Compliance

The purpose of this schedule is to calculate the amount to be brought into the in-year surplus/(deficit) for compliance related to the unfunded liabilities for retirement gratuity and retirement health/dental/life insurance plans.

• The balances at items 1.1 and 2.1 are pre-loaded based on the board-submitted 2023-24 Financial Statements’ closing balances for these liabilities in column 4 of Schedule 5. School boards are able to overwrite these values to adjust the opening balances, if necessary. Please note that this should only be done if the actual Expected Average Remaining Service Life (EARSL) or amortization period used in 2023-24 is different from the one reported in the 2023-24 Financial Statements.

• The adjusted opening unfunded liabilities are shown at items 1.4 and 2.4 after taking into account any ministry adjustments at items 1.3 and 2.3, if applicable. These balances are forwarded to Schedule 5 at items 4.1.1 and 4.1.3, column 1.

• Items 1.5 and 2.5 show the EARSL and amortization periods applicable for 2024-25, which are based on the EARSL and amortization period reported in Schedule 10G of the board submitted 2023-24 Financial Statements minus 1 year. School boards could adjust the pre-loaded EARSL and amortization period, if necessary.

• Items 1.6 and 2.6 show the in-year amortization of the liabilities into compliance. They are calculated as remaining balance from items 1.4 and 2.4 divided by the EARSL/amortization period at items 1.5 and 2.5. If the remaining EARSL/amortization period is less than 1, then the full remaining balance will be taken into compliance. The amounts calculated at items 1.6 and 2.6 are forwarded to Schedule 5, items 4.1.1 and 4.1.3, column 3.

• Items 1.7 and 2.7 show the closing balances of the unamortized liabilities. They are calculated as the sum of items 1.4/2.4 and items 1.6/2.6.