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Employee Benefit Plans
 12 Months Ended
Sep. 30, 2013
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract]  
Employee Benefit Plans
Employee Benefit Plans
Defined Benefit Plans
Franklin Templeton Global Investors Limited, a subsidiary of Franklin located in the U.K., sponsors a defined benefit pension plan (the “Pension Plan”). In addition, Fiduciary Trust Company International, a subsidiary of Franklin located in the U.S., sponsors a defined benefit healthcare plan (the “Healthcare Plan”) that provides post-retirement medical benefits to full-time employees who have worked ten years and attained age 55 while in the service of Fiduciary Trust, or have met alternate eligibility criteria. Both plans are closed to new participants, and the Pension Plan was closed to new contributions in May 2012.
Financial information for the plans was as follows:
(in millions)
 
Pension Plan
 
Healthcare Plan
as of and for the fiscal years ended September 30,
 
2013
 
2012
 
2013
 
2012
Change in Benefit Obligation
 
 
 
 
 
 
 
 
Benefit obligation at beginning of year
 
$
52.7

 
$
42.8

 
$
6.8

 
$
6.1

Service cost
 
—

 
3.6

 
—

 
—

Interest cost
 
2.3

 
2.2

 
0.2

 
0.3

Participant contributions
 
—

 
1.4

 
—

 
—

Plan curtailments
 
—

 
0.5

 
—

 
—

Plan settlements
 
(18.4
)
 
—

 
—

 
—

Benefits paid
 
(2.4
)
 
(2.4
)
 
(0.6
)
 
(0.4
)
Actuarial (gains) losses
 
7.6

 
2.9

 
(0.9
)
 
0.8

Foreign currency movements
 
(0.4
)
 
1.7

 
—

 
—

Benefit Obligation at End of Year
 
$
41.4

 
$
52.7

 
$
5.5

 
$
6.8

Change in Fair Value of Plan Assets
 
 
 
 

 
 
 
 

Fair value of plan assets at beginning of year
 
$
52.8

 
$
43.5

 
$
—

 
$
—

Actual return on assets
 
9.4

 
6.1

 
—

 
—

Employer contributions
 
—

 
2.4

 
0.6

 
0.4

Participant contributions
 
—

 
1.4

 
—

 
—

Plan settlements
 
(18.4
)
 
—

 
—

 
—

Benefits paid
 
(2.4
)
 
(2.4
)
 
(0.6
)
 
(0.4
)
Foreign currency movements
 
(0.3
)
 
1.8

 
—

 
—

Fair Value of Plan Assets at End of Year
 
$
41.1

 
$
52.8

 
$
—

 
$
—

Funded Status
 
$
(0.3
)
 
$
0.1

 
$
(5.5
)
 
$
(6.8
)

(in millions)
 
Pension Plan
 
Healthcare Plan
as of and for the fiscal years ended September 30,
 
2013
 
2012
 
2013
 
2012
Amounts Recognized in the Consolidated Balance Sheets
 
 
 
 
 
 
 
 
Other assets
 
$
—

 
$
0.1

 
$
—

 
$
—

Compensation and benefits
 
—

 
—

 
(0.4
)
 
(0.5
)
Other liabilities
 
(0.3
)
 
—

 
(5.1
)
 
(6.3
)
Net Asset (Liability)
 
$
(0.3
)
 
$
0.1

 
$
(5.5
)
 
$
(6.8
)
Weighted-Average Assumptions
 
 
 
 

 
 
 
 

Discount rate
 
4.50
%
 
4.60
%
 
4.55
%
 
3.70
%
Expected long-term rate of return on plan assets1
 
6.41
%
 
6.41
%
 
N/A

 
N/A

Rate of compensation increase
 
N/A

 
N/A

 
2.50
%
 
2.50
%
________________
1 
The expected long-term rate of return on plan assets is based on the weighted-average historic performance of each asset class and current market conditions.

The components of net periodic benefit cost for the plans were as follows:
(in millions)
 
Pension Plan
 
Healthcare Plan
for the fiscal years ended September 30,
 
2013
 
2012
 
2011
 
2013
 
2012
 
2011
Service cost
 
$
—

 
$
3.6

 
$
3.3

 
$
—

 
$
—

 
$
—

Interest cost
 
2.3

 
2.2

 
2.1

 
0.2

 
0.3

 
0.3

Plan curtailments
 
—

 
0.5

 
—

 
—

 
—

 
—

Plan settlements
 
1.6

 
—

 
—

 
—

 
—

 
—

Expected return on plan assets
 
(3.2
)
 
(3.1
)
 
(3.2
)
 
—

 
—

 
—

Amortization of net actuarial losses
 
—

 
—

 
—

 
0.3

 
—

 
0.2

Net Periodic Benefit Cost
 
$
0.7

 
$
3.2

 
$
2.2

 
$
0.5

 
$
0.3

 
$
0.5


As of September 30, 2013 and 2012, the Pension Plan assets were invested in investment funds with holdings of $35.8 million and $46.3 million in equity securities, $3.2 million and $3.7 million in debt securities, and $2.1 million and $2.8 million in cash and cash equivalents. The fair value of the investment funds, which are classified as Level 1, is determined based on the published NAV of the funds. There were no Pension Plan assets classified as Level 2 or 3 during fiscal years 2013 or 2012.
The Company has no target allocation set for the Pension Plan as the plan members control all investment decisions, and does not expect to make contributions to the plan in fiscal year 2014. The Healthcare Plan is an unfunded benefit plan. The Company expects to contribute $0.4 million to the plan in fiscal year 2014.
The plans benefits expected to be paid over the next ten years were as follows: 
(in millions)
 
Pension Plan
 
Healthcare Plan
for the fiscal years ending September 30,
2014
 
$
1.3

 
$
0.4

2015
 
0.5

 
0.4

2016
 
0.1

 
0.4

2017
 
0.1

 
0.4

2018
 
0.4

 
0.4

Thereafter in the succeeding five years
 
10.1

 
1.8


Defined Contribution Plans
The Company sponsors a 401(k) plan that covers substantially all U.S. employees who meet certain employment requirements. Participants may contribute up to 50% of pretax annual compensation and up to 100% of the cash portion of the participant's year-end bonus, as defined by the plan and subject to Internal Revenue Code limitations, each year to the plan. In addition, certain of the Company's non-U.S. subsidiaries sponsor defined contribution plans primarily for the purpose of providing deferred compensation incentives for its employees and to comply with local regulatory requirements. The total expenses recognized for defined contribution plans in the consolidated statements of income were $44.0 million, $36.8 million and $34.3 million for fiscal years 2013, 2012 and 2011.