I DNMMR on EOM3 and the redo assignment uses the same construct but a different set of questions.
Similar to other candidates, I'm finding a lot of the language/wording a bit vague and unclear. In this iteration, we are to come up with an ideal split rate contribution formula for the 10 employees. They are some rules about the max/min contribution rates, but they are mostly in line with the overall rules the assignment lays out.
Task 3 wants to implement a Hybrid pension plan which will provide the greater of the pension provided by the DC assets and the DB formula pension.
The task is to estimate the additional contribution that should be made to the hybrid plan to support the DB minimum formula. This assumes that the additional contribution will be a level percentage of future pensionable earnings for each member where the minimum DB formula is expected to apply.
I'm having trouble understanding what they want. So far, I'm interpreting it as:
For each employee where their DB pension > DC pension, calculate the additional contribution % needed in order to match their DB pension.
If this is the case, the additional contributions will only come from the top 3 earnings employees.
The rest of the assignment depends on the assumption I make here....any thoughts?
Similar to other candidates, I'm finding a lot of the language/wording a bit vague and unclear. In this iteration, we are to come up with an ideal split rate contribution formula for the 10 employees. They are some rules about the max/min contribution rates, but they are mostly in line with the overall rules the assignment lays out.
Task 3 wants to implement a Hybrid pension plan which will provide the greater of the pension provided by the DC assets and the DB formula pension.
The task is to estimate the additional contribution that should be made to the hybrid plan to support the DB minimum formula. This assumes that the additional contribution will be a level percentage of future pensionable earnings for each member where the minimum DB formula is expected to apply.
I'm having trouble understanding what they want. So far, I'm interpreting it as:
For each employee where their DB pension > DC pension, calculate the additional contribution % needed in order to match their DB pension.
If this is the case, the additional contributions will only come from the top 3 earnings employees.
The rest of the assignment depends on the assumption I make here....any thoughts?
EOM3 Exercise Task 3 - Hybrid Plan
0 commentaires:
Enregistrer un commentaire