| Defined Benefit Plan, Plan with Projected Benefit Obligation in Excess of Plan Assets |
A summary of the changes in projected benefit obligations (“PBO”) and plan assets is presented below:
| | | | | | | | | | | | | December 31, 2023 | | December 31, 2022 | | Beginning PBO | $ | 1,321,969 | | | $ | 1,322,874 | | | Service cost | 122,698 | | | 451,075 | | | Interest cost | 30,639 | | | 5,056 | | | Contributions by plan participants | 200,424 | | | 138,243 | | | Actuarial (gain) / losses | 487,991 | | (374,317) | | | | | | Benefits paid | 229,902 | | (204,695) | | Foreign currency exchange rates changes | 208,608 | | (16,267) | | Plan amendment | (107,750) | | — | | Ending PBO | $ | 2,494,481 | | $ | 1,321,969 |
| | | | | | | | | | | | | December 31, 2023 | | December 31, 2022 | | Beginning fair value of plan assets | $ | 1,039,763 | | | $ | 1,083,014 | | | Expected return on plan assets | 36,523 | | | 15,522 | | | Return on plan assets above expected return | 48,938 | | | (115,877) | | | Contributions by the employer | 200,424 | | | 138,243 | | | Contributions by plan participants | 200,424 | | 138,243 | | | | | | Benefits paid | 229,902 | | (204,695) | | Foreign currency exchange rates changes | 155,082 | | (14,687) | | Ending fair value of plan assets | $ | 1,911,056 | | $ | 1,039,763 |
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| Schedule of Defined Benefit Plans Disclosures |
Amounts recorded on the consolidated balance sheets: | | | | | | | | | | | | | December 31, 2023 | | December 31, 2022 | | Fair value of plan assets | $ | 1,911,056 | | | $ | 1,039,763 | | | Present value of projected benefit obligation | (2,494,481) | | (1,321,969) | | Funded status | $ | (583,425) | | $ | (282,206) |
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| Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss) |
Amounts recorded in accumulated other comprehensive (income) / loss: | | | | | | | | | | | | | December 31, 2023 | | December 31, 2022 | | Actuarial (gain) / loss - beginning of year | $ | (101,716) | | | $ | 168,177 | | | Actuarial (gain) / loss of current year | 444,329 | | (268,076) | | Amortization | — | | (1,817) | | Prior service (cost) / credit recognized in current year | (107,750) | | — | | Total | $ | 234,863 | | $ | (101,716) |
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| Defined Benefit Plan, Assumptions |
The assumptions used to calculate the ASC 715 liabilities are summarized in the table below:
| | | | | | | | | | | | | | | | | | | December 31, 2023 | | December 31, 2022 | | Discount rate | 1.35% | p.a. | | 2.20% | p.a. | | Expected return on plan assets | 3.00% | p.a. | | 3.80% | p.a. | | Inflation | 1.80% | p.a. | | 1.80% | p.a. | | Long-term expected rate of salary increase | 2.30% | p.a. | | 2.30% | p.a. |
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| Defined Benefit Plan, Plan Assets, Allocation |
The allocation of plan assets is presented below:
| | | | | | | | | | | | | December 31, 2023 | | December 31, 2022 | | Equities | 34.00 | % | | 34.11 | % | | Bonds | 32.00 | % | | 28.89 | % | | Mortgages | 4.00 | % | | 3.86 | % | | Liquidity | 1.00 | % | | 2.41 | % | | Real estate | 26.00% | | 27.17% | | Alternative investments | 3.00% | | 3.40% | | Infrastructure | —% | | 0.16% |
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