What makes SOUTH1 the preferred provider?

The partners of SOUTH1 are amongst the most experienced consultants in Southern Africa in terms of their involvement in IAS 19 valuations. Between them, the partners have been involved in over 500 IAS 19 valuation exercises within South Africa, Namibia and Lesotho.

SOUTH1 has also developed market leading models and intellectual property for the purposes of projecting and quantifying these liabilities. These models allow the following competitive advantages:

  • Improved accuracy
  • Efficiency
  • Enhanced understanding of the projected progression of entitled members and corresponding costs of subsidy provision
  • Flexibility in allowing for complex subsidy structures
  • Scenario testing for the purposes of strategy development.

WHO WILL BENEFIT

If you are an organisation the offers any contingent subsidy promises to employees/pensioners SOUTH1 are perfectly positioned to help you:

  • Obtain hassle-free IAS 19 compliant figures for annual financial statements at a very reasonable price
  • Minimise the cost of subsidy provision
  • Minimise the risk (current and future) of subsidy provision
  • Improve the management of subsidy entitlements.

SOUTH1 can assist in any exercise related to contingent employer promises and IAS 19 liabilities. SOUTH1 has experience in consideration of all of the following employer promises:

  • Post-retirement medical aid
  • Long service awards
  • Leave accrual
  • Share options.

WHY CHOOSE US

The partners of SOUTH1 are amongst the most experienced consultants in Southern Africa in terms of their involvement in IAS 19 valuations.

What can SOUTH1 do for you?

IAS 19 valuations

Funding valuations

Liability buy-out reviews

Assessment of optimal liability strategy and management

Subsidy entitlement reviews

Subsidy management model development

IAS 19 valuations

This includes the preparation of a report that details all required information for inclusion in an organisation’s annual financial statements in accordance with IAS 19 accounting standards.

 

Funding valuations

SOUTH1 will provide a best-estimate analysis of an organisation’s funding position related to employer subsidy promises. SOUTH1 will also provide recommendations to optimise funding structures for the purpose of improving funding positions and/or minimising the risk of becoming unfunded.

 

Liability buy-out reviews

SOUTH1 will assess the cost and practical considerations in removing a liability from an organisation’s balance sheet through transferring the promise and risk elsewhere. SOUTH1 will the recommended course of action for the organisation in order to achieve this goal.

 

Assessment of optimal liability strategy and management

SOUTH1 will take a holistic approach in recommending the best way forward for an organisation in the management of a subsidy promise to employees/pensioners. This will include consideration of the costs, risks and administrative burdens faced by the organisation together with internal and external (market) means to fund and manage these promises.

 

Subsidy entitlement reviews

In SOUTH1’s experience, many organisations do ultimately pay subsidies in line with the subsidy promises made. This can often result in additional cost through overpayment and the inclusion of individuals for subsidies that are not entitled. There is also a PR risk for organisations should entitled members not receive what they are due. SOUTH1 has performed numerous in-depth data investigations in order to deliver a ‘clean’ subsidy entitlement database.

 

Subsidy management model development

Human error and a lack of understanding of complex subsidy policies by those that administer payment can often result in the incorrect application of subsidy polices. SOUTH1 can developed electronic models that allow for the backend application of subsidy policies, limited human interfacing and error checking in order to avoid this risk.

TAILORED SOLUTIONS TO SUIT YOUR NEEDS

We look forward to hearing from you