About Partners Contact Client Portal
LinkedIn Twitter
Services Industries Insights & Events Careers & Culture

Services

RubinBrown specializes in providing a comprehensive range of services to meet business and personal needs. Whether you require expert tax, strategic business consulting, audit services or more, RubinBrown's team of experienced professionals are here to support you.

View All Our Services
Assurance Services
Benefit Plan Audit Services Public Company Services SOC Examinations, IT Audit, & Third-Party Risk
Consulting Services
Business Process Improvement Services Business Restructuring & Bankruptcy Services Cyber Security Services Environmental, Social and Governance Services ERP & Enterprise Software Advisory Fraud & Forensics SOC Examinations, IT Audit, & Third-Party Risk Information Technology Services Litigation Services Mergers & Acquisitions Services Risk & Internal Audit Services Valuation Services
Entrepreneurial Services
Outsourced Accounting & Advisory Services
Tax Services
Federal Tax Services Private Client Services Credits & Incentives Services State & Local Tax Services
RubinBrown Advisors RubinBrown Corporate Finance

Industries

At RubinBrown, we bring experience across a range of industries. Our experience enables our professionals to offer tailored solutions catering to the intricacies of each sector. Our professionals have years of focused engagement and skills, allowing them to navigate industry-specific challenges to benefit our clients.

View All Our Industries
Colleges & Universities Construction Gaming Healthcare Law Firms Life Sciences & Technology Manufacturing & Distribution Not-For-Profit Private Equity Public Sector Real Estate Transportation & Dealerships

Insights & Events

At RubinBrown, we provide valuable insights detailing emerging trends and industry-specific information. Our events, hosted virtually and in-person, keep you informed and connected to the topics and industries that matter most to you and your organization.

View All Insights & Events
Jun 11

RubinBrown’s Leveraging Technology for Business Success

Learn More & Register
Jun 17

RubinBrown’s Rural Health Webinar Series

Learn More & Register
Jul 15

RubinBrown’s Provider Education Portal Webinar: E/M Essentials for Residents

Learn More & Register

FASB Proposes Update To Enhance Guidance On Debt Modifications And Extinguishments

Learn More

Careers & Culture

At RubinBrown, we are inspired team members, working as one firm, living our core values, and Being Our Best for Others while delivering totally satisfied clients. We invite you to learn more about the Firm's culture, the Be Your Best for Others mentality, and explore the available opportunities at RubinBrown.

Discover Our Culture
Baker Tilly International Campus Recruiting Diversity & Inclusion Experienced Recruiting Locations & Contact Information Partners RubinBrown Charitable Foundation Join The Team
Back to Accounting & Audit Alerts

GASB Proposes Enhanced Guidance On Compensated Absences

Contact Us

GASB Proposes Enhanced Guidance On Compensated Absences

Contact Us

The GASB has issued an Exposure Draft entitled Compensated Absences. This Exposure Draft addresses the recognition and measurement guidance for compensated absences and refines the related disclosure requirements.

The Exposure Draft would require that a liability for compensated absences be recognized if three criteria are present:

  1. The absence accumulates. Absences that accumulate would be those that can be carried forward from the reporting period in which they are earned to a future reporting period when they will be paid or settled.
  2. The absence is attributable to services rendered. Absences that are attributable to services rendered would be those for which an employee already has performed the services required to earn the payment or settlement.
  3. The absence is more likely than not to be either paid (including being paid for use) or settled through other means. In estimating the accumulated leave that is more likely than not to be paid or settled, a government would consider relevant factors, such as employment policies related to compensated absences and historical information about the payment of compensated absences, among others.

The Exposure Draft also would establish guidance for measuring a liability, which generally would require accumulated leave to be multiplied by an employee’s pay rate as of the financial reporting date. Certain salary-related payments that are both directly and incrementally associated with payments for compensated absences (such as the employer portion of social security taxes or Medicare taxes) also would be included in the measurement of a liability.

The Exposure Draft would require that accumulated leave that is more likely than not to be settled through conversion to defined benefit postemployment benefits not be included in the compensated absences liability. However, accumulated leave that is more likely than not to be paid to an employee through a distribution to an individual account to be used for specified purposes (such as payment of the employee’s share of future healthcare premiums) would be included in the compensated absences liability following the general measurement provisions of the Exposure Draft.

In estimating the amount of the compensated absences liability that is due within one year, governments would be required to use the first-in, first-out flows assumption.

With respect to financial statements prepared using the current financial resources measurement focus, the Exposure Draft would require that a governmental fund liability and expenditure be recognized as payments for compensated absences come due each period.

The Exposure Draft would provide an exception to the existing requirement to disclose the gross increases and decreases in a compensated absences liability such that governments would be allowed to disclose only the net change in the liability. In addition, governments would no longer be required to disclose which governmental funds typically have been used to liquidate the compensated absences liability.

The requirements of the Exposure Draft would be effective for reporting periods beginning after December 15, 2022. Earlier application would be encouraged. The comment deadline for the Exposure Draft is June 4, 2021.

The full text of the Exposure Draft is available here.

 

Readers should not act upon information presented without individual professional consultation.

 

 

 

Be Your Best for Others at RubinBrown

At RubinBrown, our firm fosters a culture built upon five vision points, and are guided by our philosophy of Being Our Best for Others. Discover how you can be your best at RubinBrown today by visiting our Careers & Culture Overview for available opportunities and more.

Discover Our Culture

Join Our Mailing List

RubinBrown periodically sends breaking regulatory updates, technical summaries, industry-specific information and event (in-person and virtual) invitations through electronic newsletters.

Sign Up for Our Communications
1-800-678-3134 Certified Public Accountants & Business Consultants

Ranked a Top 50 Accounting Firm by Inside Public Accounting

Firm News Disclaimers Privacy Policy Client Payment © 2025 RubinBrown LLP
LinkedIn Twitter RubinBrown Executive Recruiting RubinBrown Advisors RubinBrown Corporate Finance