At the end of each fiscal year an actuarial valuation is performed to determine the required contribution rate for the upcoming fiscal year.  An actuarial valuation of a retirement plan is an estimate of a plan’s financial position at a specific point in time.  During a valuation, an actuary takes a “snapshot” of the membership as of a given date to determine the plan’s liabilities and funded status.  It estimates the present value of expected future cash flows.