University of California



University of California

Pension plan of University of California

Management of the university is well aware of the fact that quality education is only possible if teachers of the university are being provided quality services (University of California, 2011). In this context, university feels that it is their financial responsibility to provide excellent pension benefit plan to its employees, comprises of exceptional health benefits. Pension plan of university is carried forward for the teachers participating through LBNL program and their respective share are distributed by University to URCP, which then disburse the amount to respective personal.

Moreover, health benefit portion of pension plan is developed after determining the actual amount of retiree employee's health benefit paid through UCRHBT on speculation of benefits on first come first basis. in addition to this, whole pension plan of university Is based on the rules and regulation of GAAP, and in pass few years the university has cut the expense of research and academic to overcome the expenses of pension and retire health plan.

In addition to this, GASB in June 2012, issued statement no 68, disclosing the new accounting and financial reporting aspects, and tools for pension, which would be effective from year 2014 (University of California, 2012). The prime objective of issuing new rules and regulations for pension plan was to improve the accountability of this service, and to improve the standards of pension program. Further, according to this new statement it is imperative for the management of the university to include net pension liability under pension expense during the period of change.

In the same period, GASB issues statement no 67, containing the new rules for financial reporting of pension plans, which would be incorporated in calculation of 2013 annual report (Lander & Auger, 2008). In addition to this, university of California has drafted an innovative pension plan, under which an employee who is a member of UC-PERS wishes to get an early retirement plan would be awarded with supplement retirement income, and survivor benefits, and as per current report on around 659 retirees have been benefited from this retirement plan.

Economic condition affecting the growth and success of university

University of California is known as quality education provider to student of diversified region, and is popular of creating future leaders with strong capabilities, skills, that would play an important part in the global development in every field of life. However, there are certain economic factors that can negatively affect its growth, and are certain factors that would play an exceptional part in growth of the University. Firstly, economic condition that can create obstacles for company are described below (Devereux, 2011).

Fluctuation in currency

Since, student from all across the globe are aiming to enroll in this quality education center, to gain knowledge, to learn, and to become a better person (University of California, 2011). However, in current economic condition, currency value of various countries is declining, thus, making it difficult for individual to overcome the currency gap, and ultimately reducing the percentage of brilliant ...