§1393 — Title 29 Labor | U.S. Code

§1393 Actuarial assumptions

Title 29 › Chapter CHAPTER 18— - EMPLOYEE RETIREMENT INCOME SECURITY PROGRAM › Subchapter SUBCHAPTER III— - PLAN TERMINATION INSURANCE › Subtitle Subtitle E— - Special Provisions for Multiemployer Plans › Part part 1— - employer withdrawals › § 1393

Last updated Apr 6, 2026|Official source

Summary

Lets the corporation make rules about the actuarial assumptions plan actuaries can use to figure an employer’s withdrawal liability. Each plan must compute withdrawal liability either with assumptions and methods that, taken together, are reasonable and give the actuary’s best estimate based on the plan’s experience and expectations, or with the assumptions the corporation sets in its rules. The plan actuary may use the most recent full actuarial valuation used for purposes of section 412 of title 26 and reasonable estimates for the years in between. If full data are missing, the actuary may use available data or a representative sample. Unfunded vested benefits: the value of the plan’s nonforfeitable (vested) benefits minus the value of the plan’s assets.

Title 29, §1393

Labor — Source: USLM XML via OLRC

(a)The corporation may prescribe by regulation actuarial assumptions which may be used by a plan actuary in determining the unfunded vested benefits of a plan for purposes of determining an employer’s withdrawal liability under this part. Withdrawal liability under this part shall be determined by each plan on the basis of—

(1)actuarial assumptions and methods which, in the aggregate, are reasonable (taking into account the experience of the plan and reasonable expectations) and which, in combination, offer the actuary’s best estimate of anticipated experience under the plan, or

(2)actuarial assumptions and methods set forth in the corporation’s regulations for purposes of determining an employer’s withdrawal liability.

(b)In determining the unfunded vested benefits of a plan for purposes of determining an employer’s withdrawal liability under this part, the plan actuary may—

(1)rely on the most recent complete actuarial valuation used for purposes of section 412 of title 26 and reasonable estimates for the interim years of the unfunded vested benefits, and

(2)in the absence of complete data, rely on the data available or on data secured by a sampling which can reasonably be expected to be representative of the status of the entire plan.

(c)For purposes of this part, the term “unfunded vested benefits” means with respect to a plan, an amount equal to—

(A)the value of nonforfeitable benefits under the plan, less

(B)the value of the assets of the plan.

Notes & Related Subsidiaries

Editorial Notes

Amendments

1989—Subsec. (b)(1). Pub. L. 101–239 substituted “Internal Revenue Code of 1986” for “Internal Revenue Code of 1954”, which for purposes of codification was translated as “title 26” thus requiring no change in text.

Statutory Notes and Related Subsidiaries

Effective Date

of 1989 AmendmentAmendment by Pub. L. 101–239 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99–514, to which such amendment relates, see section 7891(f) of Pub. L. 101–239, set out as a note under section 1002 of this title.