Jan. 11 2019

Net Present Value (NPV) Tables Updated for Weeks 101-500

Pursuant to Reg. 67-1605(E)(5) the Net Present Value (NPV) Tables for 101 through 500 weeks are calculated at the yield-to-maturity rate of the Five Year U. S. Treasury Note reported by the Federal Reserve on the first business day following January 1. The regulation further states the discount rate shall not exceed six percent or be less than two percent.

The Five Year Treasury published by the Federal Reserve on January 2nd, 2019 was 2.49%. (Source: Daily Treasury Yield Curve Rates.)

Therefore, the Net Present Value Table for weeks one through 100 shall be calculated using a discount rate of two percent (2%). The Net Present Value Table for weeks 101 through 500 shall be calculated using a discount rate of two and 49/100 (2.49%) percent. The present value of the commutable weeks shall be determined based on the present value tables in effect on the date of the award or settlement.

MGC has updated the SC Net Present Value Table on the Tools section of the website to reflect these changes.

If you have questions regarding this information, please contact one of MGC’s South Carolina workers’ compensation attorneys.

This legal update is published as a service to our clients and friends. It is intended to provide general information and does not constitute legal advice regarding any specific situation. Past success does not indicate likelihood of success in any future legal representation.