Hi, The past service liability in respect of employed members is given as 108m. Does this mean the past service liability in respect of active members? 108m = AAAL in the solution and this is the key to solving the question. However, surely the AAAL should be the past service liability in respect of actives and deferred pensioners and pensioners....not just actives?
You are told that this is the PS liability of the employed members, so this is very likely to be only actives' liabilities. You are not given any information about the deferred pensioners and the pensioners.
Thanks Gresham. In general, is it correct to say that the Attained Age Actuarial Liability is the present value of benefits accrued in respect of actives and deferreds and pensioners, and not just actives?
Hi barney Yes, you are absolutely right, a scheme's actuarial liability includes liabilities from actives, deferreds and pensioners.
