YMAC Annual Report 2022

Notes to the Consolidated Financial Statements
as at 30 June 2022
1.3. Employee Benefits
Benefits
Liabilities for services rendered by employees are recognised at the reporting date to the
extent that they have not been settled.
Liabilities for short term employee benefits (as defined in AASB 119) and termination benefits
due within 12 months of the end of reporting period are measured at their nominal amounts.
The nominal amount is calculated with regard to the rates expected to be paid on settlement
of the liability.
Other long-term employee benefits are measured as net total of the present value of the
future cash outflows to be made in respect of services provided by employees up to the
reporting date.
Leave
The liability for employee benefits includes provision for annual leave and long service leave.
No provision has been made for sick leave as all sick leave is non-vesting and the average
sick leave taken in future years by employees of YMAC is estimated to be less than the
annual entitlement for sick leave.
The leave liabilities are calculated on the basis of employees’ remuneration at the estimated
salary rates that will be applied at the time the leave is taken, including YMAC’s employer
superannuation contribution rates to the extent that the leave is likely to be taken during
service rather than paid out on termination.
Leave is shown as at 30 June 2022. The estimate of the present value of the liability takes
into account attrition rates and pay increases through promotion and inflation.
Superannuation
Contributions are made to employee superannuation fund of their choice and charged as
expenses when incurred. The liability for superannuation recognised as at 30 June represents
outstanding contributions for the final month of the year.
1.4. Grants
Most grant agreements require YMAC to perform services, provide facilities or meet eligibility
criteria. In these cases, YMAC recognises grant liabilities only to the extent that the services
required have not been performed or the eligibility criteria have not been satisfied by YMAC.
In cases where grant agreements are made without conditions to be monitored, liabilities are
recognised on signing the agreement.
Grants relating to the purchase of property plant and equipment are recognized at fair value
and treated as an asset and as income when the Corporation gains control of the
contribution. This is in accordance with the treatment of grants under AASB 1058 of the
Australian Accounting Standards. Not for profit entities are still required to comply with
AASB under IFRS and, therefore, there is no change on the treatment of Grants on adoption
of IFRS.
Yamatji Marlpa Aboriginal Corporation | Annual Report 2022 | 57