Determinants of Actuarial Cost Method Changes for Pension Accounting and Funding.

Key Points

• The central aim is to evaluate determinants that influence changes in actuarial cost methods for pensions.
• Evaluates determinants of actuarial cost method changes.
• Identifies causes for variations in pension expenses.
• Analyzes impacts of different cost allocation methods.
• Switches from cost-allocation to benefit-allocation methods linked to specific financial impacts.
• Identifies funding strategies related to expense reductions.
• Determines underlying reasons for method changes in pension accounting.

Abstract