TCDRS provides an actuarial valuation of the County's retirement plan each year. The valuation provides a snapshot of the plan's financial condition and results are used to determine the County's required contribution rate. The most recent Actuarial Information follows:
Values as of December 31, 2020
Actuarial Value of Assets $158,987,306
Actuarial Liabilities $187,365,317
Unfunded AAL $28,378,011
Funded Ratio 84.9%
Effective Amortization Period 20
Assumed Rate of Return 7.5%
Valuation Payroll $31,246,370
UAAL Percent of Covered Payroll 6.77%
- Actuarial cost method - Entry age
- Amortization method - Level percentage of payroll, closed
- Remaining amortization period - 20.0 years (based on contribution rate calculated in 12/31/2020 valuation)
- Asset valuation method 5 year smoothed market
- Inflation- 2.50%
- Salary increases Varies by age and service. 3.0% average over career, including inflation
- Investment rate of return 7.50%, net of investment expenses, including inflation
- Retirement age Members who are eligible for service retirement are assumed to commence receiving benefit payments based on age. The average age at service retirement for recent retirees is 61.
Actuarially Determined Contribution Rate versus the Actual Total Contribution Rate for Victoria County
For calendar year 2022, Victoria County Commissioners Court elected a Total Contribution Rate of 15.22% of payroll, which will go towards funding the County’s retirement plan. This rate includes 0.28% for Group Term Life and the Determined Contribution Rate of 14.94% for the same period.
Below Chart 1 compares the Actuarially Determined Contribution Rates versus Victoria County's Actual Total Contribution Rates. Over the last four years, Victoria County Commissioners Court has paid the actuarially determined contribution rate.
Below, Chart 2 shows the five year history of Victoria County's Actuarial Value of Assets versus Actuarial Accrued Liabilities. This data can be found in the Victoria County Comprehensive Annual Financial Report.