35 IAC 1.3-10-1 Actuarial rules

Sec. 1. Two (2) forms of benefit payments are considered to be actuarially equivalent if the expected present value of future payments are the same. For PERF, the expected present value of the pension portion of the benefit is calculated based on a six and twenty-five hundredths percent (6.25%) interest rate and the Pub-2010 Mortality Tables, projected to 2035 using Scale MP-2019, blended using a customized weighting. The expected present value of the annuity portion of the benefit is calculated using the Pub-2010 Mortality Tables, projected to 2035 using Scale MP-2019, blended using a customized weighting and prior to January 1, 2017, and after October 1, 2015, an interest rate equal to the greater of similar annuities in the private market or four and one-half percent (4.5%). After January 1, 2017, the interest rate used will be equal to similar annuities in the private market.