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Ontario Minimum Funding Amortization

Clicking the Parameters button for an Ontario applicable provincial law selection under the Minimum Funding Amortization Bases topic leads you to additional parameters that you must specify.

Check the box to Apply the Stronger, Fairer Ontario Act to reflect the updated pension legislation effective May 2018.

If you check this box, then you must enter the percentage for the provision for adverse deviation. This percentage is applied to the ongoing liabilities and normal costs calculated in the underlying Valuations or Core Projections. Although you may use ProVal to assist you in calculating the provision for adverse deviation, ProVal does not currently calculate the percentage directly and must be entered by the user.

Also select if the provision for adverse deviation should be Applied to the Ongoing liability or the Non-Indexed liability. If the Non-Indexed liability is selected, it must be calculated in the underlying Valuations or Core Projections. For more information, see Liability Methods.