Scope sheet
finbryn.com
Actuarial
Defined benefit freeze and DB-to-DC conversion costing
Finbryn provides costing, projections and participant impact schedules for sponsors freezing a defined benefit plan or moving to a 401(k) or cash balance design, prepared for the plan's enrolled actuary and ERISA counsel. Checked 2026-10-16: a section 204(h) notice is due at least 45 days before the effective date, and PBGC's 2027 flat premium is $116 per participant.
What is included
- Scenario costing for an open plan, a soft freeze, a hard freeze and a replacement design
- Participant impact schedules showing earned benefits and replacement contributions
- PBGC premium and minimum funding projections under each scenario
- Accounting impact schedule for the curtailment or past service cost
- Data file for counsel's section 204(h) notice: formulas before and after, and the effective date
The process
- 1.
Collect the plan document, last valuation and census
Gather the plan and amendments, the latest funding and accounting valuations, participant data and the PBGC premium filing.
- 2.
Set the scenarios with the sponsor
Agree the cases to cost: open plan, soft freeze, hard freeze, and each replacement design with its contribution rate.
- 3.
Project cost and cash flows
Run minimum funding, PBGC premiums and replacement contributions year by year for each scenario.
- 4.
Build participant impact schedules
Show earned benefits and replacement benefits for sample ages and service, and the list of participants who will receive the notice.
- 5.
Hand counsel the notice inputs
Provide the formulas before and after, the effective date and the applicable-individual list; counsel drafts and the administrator sends.
- 6.
The enrolled actuary reviews and signs the funding items
The plan's enrolled actuary signs the Schedule SB, premium certification and any funding certification that applies.
- 7.
Deliver the board and auditor package
Provide the cost comparison, the curtailment entry and disclosure schedule, and the assumptions memo.
Software
Microsoft Excel, Python
Finbryn is a brand of Northlane Solutions Inc., a Delaware corporation.
Reviewed October 2026