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EMPLOYEE BENEFIT PLANS
 12 Months Ended
Dec. 31, 2020
Retirement Benefits [Abstract]  
EMPLOYEE BENEFIT PLANS EMPLOYEE BENEFIT PLANS
Employee Retirement Plan

Effective May 9, 1997, the Company adopted a Defined Contribution 401(k) and Profit Sharing Plan (the “401(k) Plan”) for its United States and Canada employees. The 401(k) Plan covers all regular full-time and part-time employees who have completed three months of service and attained the age of twenty-one. United States employees can contribute up to 100 percent of their annual compensation but are limited to the maximum annual dollar amount allowable under the Internal Revenue Code. The 401(k) plan permits matching and discretionary employer contributions. The Company’s matching contributions for its United States and Canada employees vest ratably over a five-year period. During each of the years ended December 31, 2020 and 2019, the Company contributed approximately $0.2 million and $0.3 million to the 401(k) Plan for matching contributions, respectively.

The Company also sponsors a non-U.S. defined benefit plan covering its employees in its Japan subsidiary (the “Benefit Plan”). Benefits under the Benefit Plan are based on a point system for position grade and years of service. The Company utilizes actuarial methods. Inherent in the application of these actuarial methods are key assumptions, including, but not limited to, discount rates and expected long-term rates of return on plan assets. Changes in the related Benefit Plan costs may occur in the future due to changes in the underlying assumptions, changes in the number and composition of plan participants, and changes in the level of benefits provided. The Company uses a measurement date of December 31 to evaluate and record any post-retirement benefits related to the Benefit Plan.

Projected Benefit Obligation and Fair Value of Plan Assets

The Benefit Plan’s projected benefit obligation and valuation of plan assets were as follows for the years ended December 31 (in thousands):
Projected benefit obligation:20202019
Balance, beginning of year$319 $388 
Service cost47 56 
Interest cost1 1 
Liability (gain) loss6 (2)
Benefits paid to participants(30)(128)
Special termination benefit8 — 
Foreign currency19 4 
Balance, end of year$370 $319 
Plan assets:20202019
Fair value, beginning of year$— $— 
Company contributions30 128 
Benefits paid to participants(30)(128)
Fair value, end of year$— $— 
Funded status of the Benefit Plan as of December 31 (in thousands):
20202019
Benefit obligation$(370)$(319)
Fair value of plan assets— — 
Excess of benefit obligation over fair value of plan assets$(370)$(319)
Amounts recognized in the accompanying Consolidated Balance Sheets consist of, as of December 31 (in thousands):
20202019
Accrued benefit liability$(370)$(319)
Transition obligation and unrealized gain(194)(234)
Net amount recognized in the consolidated balance sheets$(564)$(553)
 Years Ended December 31,
Other changes recognized in comprehensive income (in thousands):
20202019
Net periodic cost$10 $14 
Current year actuarial (gain) loss 6 (2)
Amortization of transition obligation(4)(4)
Total recognized in other comprehensive income (loss)2 (6)
Total recognized in comprehensive income$12 $8 
 As of December 31,
Amounts not yet reflected in net periodic benefit cost and included in accumulated other comprehensive gain (in thousands):
20202019
Transition obligation$62 $58 
Prior service cost139 174 
Net actuarial gain (loss)(7)2 
Total recognized in accumulated other comprehensive gain $194 $234 
2019 estimated amounts of amortized transition obligation (in thousands):
2019
Transition obligation$(4)
 As of December 31,
Aggregate Benefit Plan information and accumulated benefit obligation in excess of plan assets (in thousands):20202019
Projected benefit obligation$370 $319 
Accumulated benefit obligation370 319 
Fair value of plan assets— — 

The weighted-average assumptions to determine the benefit obligation and net cost are as follows:
 20202019
Discount rate0.20 %0.20 %
Rate of increase in compensation levels— — 

Components of Expense

Service Cost for the Benefit Plan is included within selling and administrative expenses and all other items noted in the table below (Interest Cost, Amortization of Transition Obligation, and Prior Service Cost) are included within other income (expense). Pension costs, which are included within Consolidated Statement of Operations are detailed below for the years ended December 31 (in thousands):
 20202019
Service cost$47 $56 
Interest cost1 1 
Amortization of transition obligation4 4 
Gain (loss)(6)(4)
Special termination8 — 
Prior service cost(44)(43)
Total pension expense$10 $14 
Estimated Benefits and Contributions

The Company expects to contribute approximately $37,000 to the Benefit Plan in 2021. As of December 31, 2020, benefits expected to be paid by the Benefit Plan for the next ten years is approximately as follows (in thousands):
2021$37 
202268 
202325 
2024126 
202536 
Next five years192 
Total expected benefits to be paid$484