Valuation of Pension Funds with Attained Age Normal and Projected Unit Credit Methods: Case Study of PT Taspen (Persero) Samarinda Branch

Abstract

The pension fund serves as a guarantee of an individual's economic welfare after retirement, providing pension benefits. Civil Servants are among the workers entitled to pensions managed by PT. Taspen (Persero). However, Civil Servants are often perceived as a financial burden on society, as the government’s pension scheme places a significant strain on the State Budget (APBN). Therefore, it is necessary to revise the scheme by conducting accurate actuarial calculations to reduce this burden. This research is intended to determine the normal contribution rates and actuarial obligations through the application of the Attained Age Normal and Projected Unit Credit methods at PT. Taspen (Persero) Samarinda Branch Office, with a 6% interest rate. The findings show that based on the Attained Age Normal approach, the normal contribution tends to rise as employees near retirement. In contrast, the Projected Unit Credit method provides a more consistent and evenly distributed contribution pattern throughout the working period. Regarding actuarial obligations, both methods demonstrate an upward trend; however, the Attained Age Normal method typically produces greater liabilities compared to the Projected Unit Credit method.