In many countries in the Middle East it is a legal obligation to provide an end of service (EOS) severance benefit when an employee leaves an employer. Analysis by Milliman indicates that a significant proportion of companies could be underreporting when accounting for the cost of these benefits. The growing trend toward accounting for EOS benefits under International Accounting Standards provides for the transparent representation of these long-term costs. Employers should be aware that the impact of moving to the international standards will depend on how reserves were established previously.