- Enrolled Actuary
An Enrolled Actuary (or EA) is an
actuarywho has been licensed by a Joint Board of the Department of the Treasury and the Department of Labor to perform a variety of actuarial tasks required of pension plans in the United Statesby the Employee Retirement Income Security Actof 1974 (ERISA). As of November 2007, there were approximately 4,600 Enrolled Actuaries. [USFR|72|61583]
Joint Board for the Enrollment of Actuariesadministers two examinations to prospective Enrolled Actuaries. Once the two examinations have been passed, and an individual has also obtained sufficient relevant professional experience, that individual becomes an Enrolled Actuary.
The first exam (EA-1) tests basic knowledge of (1) the mathematics of compound interest; and (2) the mathematics of life contingencies, and practical demographic analysis.
The second (EA-2) examination consists of two segments. Segment A covers the selection of actuarial assumptions, actuarial cost methods, and the calculation of minimum (required) and maximum (tax-deductible) contributions to pension plans. Segment B tests knowledge of relevant federal pension laws (in particular, the provisions of ERISA) as they affect pension actuarial practice.
More detailed information about these examinations can be found on the websites of the [http://www.irs.gov/taxpros/actuaries/article/0,,id=97444,00.html Joint Board] or the [http://www.soa.org/ccm/content/?categoryID=214009 Society of Actuaries] .
Enrolled Actuaries generally work for human resource consulting firms, investment and insurance brokers, accounting firms, government organizations, and law firms. Some firms that employ Enrolled Actuaries combine two or more of these practice specialties.
Many Enrolled Actuaries belong to the
Conference of Consulting Actuariesor the American Society of Pension Professionals and Actuaries.
Notes and references
* [http://www.irs.gov/taxpros/actuaries/index.html Joint Board for the Enrollment of Actuaries]
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