SAMSA Annual Report 2015 - 2016

CHAPTER 06 ANNUAL FINANCIAL STATEMENTS ANNUAL FINANCIAL STATEMENTS CHAPTER 06
NOTES TO THE FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2016 FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2016
10. FINANCIAL ASSETS & LIABILITIES BY CATEGORY
The accounting policies for financial instruments have been applied to the line items below:
2016 1 year or less
R ‘000
Total
R ’000
The amounts recognised in the statement of financial position are as follows:
Opening Balance 2016
R ‘000
2015
R ‘000
Opening Balance (19 274) (16 104)
Cash and cash equivalents 6 255 6 255
Trade and other receivables 37 065 37 065
Trade and other payables (93 628) (93 628)
(50 308) (50 308)
Amounts charged to income (751) (3 170)
(20 025) (19 274)
Non-current liabilities (19 249) (18 550)
Current liabilities (776) (724)
(20 025) (19 274)
2015 1 year or less
R ‘000
Total
R ’000
Changes in the present value of the defined benefit obligation are as follows:
Cash and cash equivalents 8 523 8 523
Trade and other receivables 33 180 33 180
Trade and other payables (71 241) (71 241)
(29 538) (29 538)
Opening balance 19 274 16 104
Current Service Cost 302 238
Interest Cost 1 529 1 512
(Actuarial Gain)/Loss (330) 2 092
Expected Employer Payments/(Benefit) (750) (672)
11. EMPLOYEE BENEFIT OBLIGATIONS
Defined benefit plan
Post retirement medical aid plan
Key assumptions used
Assumptions used at the reporting date:
20 025 19 274
The Authority operates a defined benefit plan for qualifying employees. The most recent actuarial valuation of plan assets and the
present value of the defined benefit obligation were carried out in March 2016 by an Alexander Forbes actuary. The present value of
the defined benefit obligation and the related current service cost were measured using the Projected Unit Credit Method.
Average Retirement Age rate Males - Years 60 60
Discount rate - Percentage 10 % 8 %
Expected rate of salary increases 9 % 10 %
Medical cost trend rates (Health Care Cost Inflation) 10 % 7 %
Consumer Price Index Inflation 8 % 7 %
In-service members 15 18
Continuation Membership of membership at retirement - number of employees 9 6
166 | SAMSA ANNUAL REPORT SAMSA ANNUAL REPORT | 167