§4281.13 Benefit valuation methods—in general.

Except as otherwise provided in §4281.16 (regarding plans that are closing out), the plan sponsor must value benefits as of the valuation date by—

(a) Using the interest assumptions under §4044.54 of this chapter; [Previous Text]

(b) Using the mortality assumptions under §4044.53 of this chapter;

(c) Using interpolation methods, where necessary, at least as accurate as linear interpolation;

(d) Applying valuation formulas that accord with generally accepted actuarial principles and practices; and

(e) Adjusting the values to reflect the loading for expenses in accordance with §4044.52(d) of this chapter (substituting the term “benefits” for the term “benefit liabilities (as defined in 29 U.S.C. 1301(a)(16))”). [Previous Text]

[61 FR 34118, July 1, 1996, as amended at 63 FR 38307, July 16, 1998; 84 FR 18726, May 2, 2019; 89 FR 48309, June 6, 2024]