Society of Actuaries Analyze Impact of MAP-21 Provisions on Pension Plan Contributions

Apr 28, 2014, 12:58 ET from Society of Actuaries

SCHAUMBURG, Ill., April 28, 2014 /PRNewswire-USNewswire/ -- The Society of Actuaries (SOA) today released new analysis on the provisions from the Moving Ahead for Progress in the 21st Century Act (MAP-21). The SOA fact sheet "Utilization of MAP-21 Pension Funding Stabilization in 2012" provides insights on how private sector, single-employer defined benefit plans were affected by the provisions in 2012.

The category of plans most affected by the MAP-21 provisions in 2012, those receiving the minimum contribution amounts required by the amended law, included plans in a variety of funded positions, and not just plans with relatively low funded ratios. The SOA analysis compares plans that experienced various degrees of funding deferral in 2012 as a result of the stabilization provisions. Nearly sixty percent of the plans that applied the MAP-21 provisions received contributions in excess of the required amount for 2012.

"The data shows that the flexibility afforded by the MAP-21 provisions benefit the sponsors of relatively well-funded plans as well as the sponsors of less funded plans," said Joseph Silvestri, FSA, EA, FCA, MAAA, Retirement Research Actuary for the Society of Actuaries. "With the availability of more data about contribution experience, there may be more understanding of how the stabilization provisions affected plan funding."

The analysis used plan year 2011 and 2012 data available from the U.S. Department of Labor. The data analysis was made possible through the SOA's in-house, data-driven research capabilities. The SOA is also conducting an analysis of potential variations to the MAP-21 stabilization provisions for release in 2014.

For the "Utilization of MAP-21 Pension Funding Stabilization in 2012" fact sheet visit

About the Society of Actuaries
The Society of Actuaries (SOA) is an educational, research and professional organization dedicated to serving the public, its members and its candidates. The SOA's mission is to advance actuarial knowledge and to enhance the ability of actuaries to provide expert advice and relevant solutions for financial, business and societal problems. The SOA's vision is for actuaries to be the leading professionals in the measurement and management of risk. Visit

Michael Nowak

SOURCE Society of Actuaries