What Every Employer Should Know
The Governmental Accounting Standards Board (GASB) no longer requires the computation of the traditional (GASB 25) funded ratio. The new GASB Statement No. 67 requires the disclosure of the ratio of the fiduciary net position to total pension liability. The fiduciary net position is the plan’s net assets at fair value. Total pension liability is the present value of projected benefits already earned by employees. The initial values for this ratio are 97.9 percent in the Employees’ Retirement System (ERS) and 99.0 percent in the Police and Fire Retirement System (PFRS).
However, even more important than the current funded ratio is NYSLRS’ discipline to collect the actuarially determined contributions. That is what sets us apart from many systems and one of the reasons we are so well funded.
The average employer contribution rates for 2017 will be 15.5 percent in ERS, and 24.3 percent in PFRS. This is a reduction of 2.7 percent for ERS and 0.4 percent for PFRS.