CalPERS keeps 6.8% discount rate; actuarial assumption updates raise modest contribution expectations for some plans

Dec 8, 2025

CalPERS confirmed a 6.8% funding discount rate and adopted modest actuarial assumption changes — including raising inflation to 2.5% and salary‑scale adjustments — that staff project will slightly reduce funded status and modestly raise required contributions for many plans; PEPRA impacts are concentrated and timing of changes was detailed.

The full story

CalPERS staff told stakeholders the board confirmed a 6.8% discount rate for funding valuations while adopting modest actuarial assumption updates that will slightly raise contribution expectations for many plans.

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