8 Payables 2015 $000 2014 $000 193 198 17 9 210 207 PAYE tax payable 72 75 Grants received subject to conditions 10 16 Total payables under non-exchange transactions 82 91 292 298 Payables under exchange transactions Creditors Revenue received in advance Total payables under exchange transactions Payables under non-exchange transactions Total payables 9 Employee entitlements 2015 $000 2014 $000 3 23 359 494 18 30 380 547 Retirement and long service leave 60 78 Total non-current portion 60 78 440 625 Current portion Accrued salaries and wages Annual leave Retirement and long service leave Total current portion Non-current portion Total employee entitlements The liability for retirement and long service leave entitlements is carried at the present value of estimated future cash flows, calculated based on a number of factors determined on an actuarial basis. Two key assumptions used in calculating the retirement and long service leave liability include the discount rate and the salary inflation factor. Any changes in these assumptions will impact on the carrying amount of the liability. Expected future payments are discounted using forward discount rates derived from the yield curve of New Zealand government bonds. The salary inflation factor has been determined based on the long-term annual increase in salaries and wages expected by the New Zealand Treasury. A discount rate of 4.39% (2014: 5.5%) and an inflation factor of 3.0% (2014: 3.5%) were used. Because the carrying amount of the retirement and long service leave liability is small, the impact of either the discount rate or salary inflation factor differing by 1 percentage point from that used would be negligible. Annual Report 2015 51