Page 336 - SAMRC AnnualReport 2025-26

ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2026
NOTES TO THE ANNUAL FINANCIAL STATEMENTS
(CONTINUED)

18. Employee benefit obligations (continued)

Discount rate
Assumed discount rate have a significant effect on the amounts recognised in surplus or deficit. A one percentage
point change in assumed discount rate would have the following effects:

ONE PERCENTAGE ONE PERCENTAGE
POINT INCREASE POINT DECREASE
R R
31 March 2026
Defined benefit obligation (DBO) (34,876,507) (43,087,271)
Total DBO (34,876,507) (43,087,271)

ONE PERCENTAGE ONE PERCENTAGE
POINT INCREASE POINT DECREASE
R R
31 March 2025
Defined benefit obligation (DBO) (41,344,000) (50,560,000)
Total DBO (41,344,000) (50,560,000)
The methods and assumptions used in preparing the sensitivity analyses and the limitations of those methods
are: The valuation is based on the Projected Unit Credit valuation method. The expected rate of return on plan
assets is based on market expectation, at the beginning of the period, for returns over the entire life of the
related obligation.
The discount rate has been determined by reference to market yields at the balance sheet date of the South African
long-term bonds.
In 2026 there are no effects of withdrawal benefits of the Defined benefit obligation (DBO).
Amounts for the current period and previous four years

2026 2025 2024 2023 2022
R R R R R
Defined benefit obligation 38,652,901 45,570,000 52,268,000 83,039,000 82,304,000
Plan assets 54,103,783 56,006,000 61,229,000 89,533,000 87,186,000
Surplus in the plan 15,450,882 10,436,000 8,961,000 6,494,000 4,882,000

Expected contributions
The expected contributions to the plan for the next reporting period is R1,819,191 for both member and entity
contributions.

Defined contribution plans
It is the policy of the entity to provide retirement benefits to all its employees.
The entity is under no obligation to cover any unfunded benefits.

31 MARCH 31 MARCH
2026 2025
R R
The amount recognised as an expense for defined contribution plans is 37,673,757 35,619,889

Defined contribution plan : SAMRC Pension Fund
The SAMRC Pension Fund has a Defined Contribution section for members who joined after 1 May 1998.

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