USA: Milliman 2025 Corporate Pension Funding Study
The funded ratio of the Milliman 100 pension plans increased during FY2024 to 101.1% from 98.5% at the end of FY2023. Both liabilities and assets decreased, but the liability declines fuelled in part by the 42 basis point increase in the discount rate exceeded the plan asset declines based on the 3.6% annual investment return. This resulted in an improvement in funded status from a deficit position of $19.9 billion to a surplus of $13.8 billion.
The 2025 edition of the Milliman Corporate Pension Funding Study (PFS) is our 25th annual analysis of the financial disclosures of the 100 U.S. public companies sponsoring the largest defined benefit (DB) pension plans. These 100 companies are ranked highest to lowest by the value of their pension assets as of the end of fiscal year (FY) 2024. These values have been reported to the public, to shareholders, and to the U.S. federal agencies with an interest in such disclosures.
Key results for 2024
- The funded percentage increased from 98.5% to 101.1%.
- The funded status improved from a $19.9 billion deficit to a $13.8 billion surplus.
- The average return on investments was 3.6%.
- The average discount rate increased from 5.01% to 5.43%.
- The average expected return on assets assumption increased from 6.42% to 6.53%.
Contacts
Zorast Wadia
Principal and Consulting Actuary, Milliman
VIEW PROFILE
Email:
zorast.wadia@milliman.com
Tel: +16464733315
Zorast Wadia
Principal and Consulting Actuary, Milliman
Zorast Wadia is a principal and consulting actuary with the New York office of Milliman. He joined the firm in 2002. In addition to his client responsibilities, Zorast manages a team of actuarial analysts and is the principal author of the Milliman 100 Pension Funding Study.
Contacts
Zorast Wadia
Principal and Consulting Actuary, Milliman
VIEW PROFILE
Email:
zorast.wadia@milliman.com
Tel: +16464733315
Zorast Wadia
Principal and Consulting Actuary, Milliman
Zorast Wadia is a principal and consulting actuary with the New York office of Milliman. He joined the firm in 2002. In addition to his client responsibilities, Zorast manages a team of actuarial analysts and is the principal author of the Milliman 100 Pension Funding Study.