Actuarial valuation

an examination of an approved retirement savings plan to determine if it is actuarially sound. A plan is actuarially sound if funds are accumulating at a rate sufficient to provide the promised pension benefits when due. This involves a determination Astor composition of the work force earning levels turnover interest earned mortality and any other factors affecting cost to determine if they are consistent with the assumptions on the basis of which the plan was established. Generally used in connection with self-administered trustee split-funded or deposit administration plans since under group annuity plans the insurance carrier guarantees the payment of all benefits.- The Insurance Dictionary 3rd Edition