Rye Town Council
Notes to the Accounts
For The Year Ended 31 March 2005
1	Principal Accounting Policies Continued
	Reserves
	The Council maintains certain reserves to meet general and specific future expenditure. The purpose of the Council's reserves is explained in Note 14.
	Interest Income
	All interest receipts are credited initially to general funds.
	Pensions
	The pension costs that are charged to the Council's accounts in respect of its employees are equal to the contributions paid to the funded pension scheme for these employees.
	These contributions are determined by the fund's actuary on a triennial basis and are set to meet 100% of the liabilities of the pension fund, in accordance with relevant government regulations.
	The last actuarial valuation was undertaken as at 31 March 2001 and the change in contribution rates as a result of that valuation took effect from 1 April 2002 with annual adjustments thereafter. An interim valuation was undertaken as at 31 March 2005, effective 1 April 2005.