1. Art83 WG Meeting
Pension Scheme of European Officials (PSEO) Actuarial assessment scheme
2007 Provisional results
Item 6 of the Agenda
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2. Timing of the actuarial assessment Contribution rate
Content
Timing of the actuarial assessment
Contribution rate
Reference population
Technical implementation of Annex XII
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3. Timing of the actuarial assessment
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4. Contribution rate from the 1st July 2007
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5. Change in the calculated rate
The calculated 2007 contribution rate (10.3%) is lower (-0.1%) than the 2006 rate (10.4%).
This small difference is due to:
Real Discount Rate (RDR) decrease of 0.2%
General Salary Growth (GSG) increase of 0.2%
Global decrease of ISP rates of 0.2%
Update of the 2004 EU-Invalidity table
Population change
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6. Contribution rates from 2004
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7. The contribution rate is computed as the actuarial value of
Contribution rate (computation)
The contribution rate is computed as the actuarial value of
the service cost (895 million €) divided by the total of
the staff annual basic salaries (2 895 million €)
The total service cost is the sum of:
Service cost for retirement (780 million €)
Service cost for invalidity (66 million €)
Service cost for death (49 million €)
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8. Contribution rate by type of service cost
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9. Summary of main actuarial assumptions
The provisional assessment was based in a population of contributing members at
Discount rate = 3.4%
General salary growth (GSG) = 0.5%
Individual salary progression (ISP) = “2007 ISP table” (weighted rate at = 1.6%)
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10. Reference population
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11. Reference population by Institutions and Agencies
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12. Reference population by age
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13. Technical implementation of the Annex XII
Technical questions are dealt with by Eurostat in cooperation with national experts (Article 83 Working Group)
Eurostat exchange relevant information with actuaries from Eurocontrol, JPAS and EPO
Eurostat is assisted by Ernst & Young Actuaires-Conseils / Paris
Ernst & Young will examine the final contribution rate that Eurostat will calculate by the 1st September 2007
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14. Thank you for your attention
The Working Group is asked to express its views on the issues discussed in this paper.
Thank you for your attention
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