Funding rules for defined benefit pension plans
Are you an actuary who must prepare an actuarial valuation that meets the
requirements of the Supplemental Pension Plans Act (the SPP Act)?
This section provides information on applying the funding rules for
defined benefit pension plans subject to the SPP Act. The rules are specific to
the plan employer's sector of activity.
Funding on a solvency basis
A defined benefit pension plan subject to the SPP Act is exempt from funding
on a solvency basis, unless an exemption regulation provides otherwise. In the
actuarial valuation report, the actuary must still provide the plan's financial
situation on a solvency basis.
Plans covered by an exemption regulation
Special funding rules can apply to a plan covered by an exemption regulation.
Unless instructed otherwise, you must consult the regulation for the specific
An exemption regulation is a regulation made under the second paragraph
section 2 of the SPP Act .