Projected Benefit Obligation vs Accumulated Benefit Obligation vs Vested Benefit Obligation


This video shows the differences between the vested benefit obligation, accumulated benefit obligation, and projected benefit obligation in pension accounting. The vested benefit obligation is the smallest because it only accounts for vested benefits at current salary levels. The accumulated benefit obligation accounts for both vested and non-vested benefits at current salary levels. The projected benefit obligation is the largest amount of these three because it accounts for both vested and non-vested benefits at future salary levels.

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Topics:  Knowledge
Joe Black 

which amount is recognized on the balance sheet?? pbo minus plan assets?

Gaurav K.M. 

Thank You for making it clear

Paul Musarra 

Great stuff. Thank you


These videos are great!!! Much better than the videos the accounting courses have out there.

Kate Whitley 

Your explanations are 1,000 times better than this stupid CPA Review book. Even the FASB Accounting Standards in the Codification sounds like an alien language. I hate it!

Sally Brenton 

This whole series was great... i was using a cpa review course and when i got to the practice problems i was still confused. going over this whole thing really cleared things up and now i really understand it. Plus they were all really short, and using 2X speed on youtube makes it even faster!!!


This stuff u got here SMOKES any textbook out there

Shahin sa 

Perfect, short explanation... TNX