For additional terms and descriptions, please refer to the Governmental Accounting Standards Board (GASB) website.
Deferred Inflows
An acquisition of net assets by the government, which is applicable to a future reporting period; has a negative effect on net position, similar to liabilities.
Deferred Outflows
A consumption of net assets by the government, which is applicable to a future reporting period; has a positive effect on net position, similar to assets.
Discount Rate
Per GASB Statement No. 67, a blended or single rate (expressed as a percentage), which reflects (1) the long-term expected rate of return on pension plan investments to the extent (a) this rate will support projected benefit payments of the plan, and, (b) assets will be invested using the current allocation target to achieve that return, and (2) for the period of benefit payments not supported, will incorporate an index rate for 20-year-tax-exempt municipal bonds. The assumptions used for GASB are the same as the assumptions used in the annual actuarial valuation (for more information, refer to the 2023 Actuarial Assumptions) including a 5.9% discount rate.
Employer’s Contribution
The amount reflects an employer’s regular pension contribution, including Group Life Insurance Plan (GLIP). It does not include payments made for Adjustments, Amortizations or Incentives; these amounts were recorded when the amounts were initially due.
Employer’s Proportion
A measure of an employer’s share of a cost-sharing pension plan as compared to all employers of the plan.
Measurement Date
The date when the Net Pension Liability is measured. For NYSLRS, the measurement date is March 31 annually.
Net Pension Liability (NPL)
The difference between the pension plan’s Total Pension Liability and Fiduciary Net Position, based on actuarial valuations and the assets currently available within the plan to pay that liability.
Pension Expense
Changes in the Net Pension Liability, recognized in the current reporting period. There are some exceptions, including changes due to differences between expected and actual experience, changes in economic and demographic assumptions, and the difference between projected and actual earnings on pension plan investments.
Pension Plan’s Fiduciary Net Position
The pension plan’s net assets at fair value.
Proportionate Shares
The percentage of the Net Pension Liability (NPL) allocated to the employer. Shares are calculated using the Actuarial Present Value of Future Billable Salary (PVFBS), which is an estimate of all the salary to be paid to current employees over their career. An employer's PVFBS is divided by the pension plan’s PVFBS and then multiplied by the NPL to determine the employer’s proportionate share of the NPL.
Total Pension Liability (TPL)
The actuarial present value of benefit payments (current and future) that is attributed to service already accrued by NYSLRS' members. Similar to the Actuarial Accrued Liability (AAL), this liability is determined under the Entry Age Actuarial Cost Method.
Rev. 8/24