Determination of long service leave liabilities

Taylor Fry has been retained to advise several employers in relation to long service leave (LSL) liabilities. The first stage of our work is to review the existing calculations of accrued leave, including allowance for current staff whose LSL has not yet vested. We check the correct application of inflation and discounting so as to provide an estimated liability that is suitable for inclusion in financial statements, in accordance with relevant Accounting Standards.

The next stage is to provide projections of future payment of LSL costs, allowing for new staff and staff turnover, together with future rates of leave taking. This assists business planning and can be used to develop investment policy, by providing input to asset/liability matching considerations.

In addition to the determination of long service leave liabilities, Taylor Fry also offers numerous other general actuarial services.