Valuation process
The valuation process has two purposes. To:
- assess your current funding level
- set a contribution strategy to make sure we can pay current and future benefits built up by your members.
We work with our Fund actuary to achieve this, conducting a formal valuation, every three years. This helps us to work out:
- your current funding level
- what contributions we need to make sure the value of assets will match the value of your liabilities by an appropriate target date.
Based on the outcome of this valuation, your contribution rate may be adjusted.
Both your current funding level and the amount of contributions needed to pay benefits are based on several assumptions about the future. The valuation is conducted every three years to allow us to review these assumptions and actual experience since the last valuation.
The results of the valuation are published in a valuation report. This includes the rates and adjustments certificate showing employer contribution rates for the following three years. You can find the latest reports on the funds and investment policies section of each Fund’s key documents page.
