FASB’s 2015 Simplification Standards
The Financial Accounting Standards Board (FASB) recently issued its seventh standard under its simplification initiative and plans to issue more by the end of the year. FASB issues these tightly focused standards to simplify accounting while improving or maintaining the usefulness of information reported to investors and other users of financial statements. Reduced complexity in accounting standards generally means reduced costs for preparers and auditors.
Here is a summary of the completed and pending simplification projects, including one applicable to employee benefit plans. Entities may early adopt the standards. Each standard includes specific transition guidance and early adoption criteria.