The tentative budget deal reached between the Obama White Houseand Congressional Republicans would slap on new and significantincreases to the premiums sponsors of defined benefit plans pay to thePension Benefit Guaranty Corp.

Just yesterday, PBGC published rate hikes for planyears beginning in 2016. The agency did not include the increasesproposed in the budget deal.

The per-participant amount for the flat-rate premium was raisedto $64 for next year, up from $57 in 2015. The variable rate wasraised to $30 per $1,000 of unfunded liabilities, up from $24 in2015.

Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.

  • Critical BenefitsPRO information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Nick Thornton

Nick Thornton is a financial writer covering retirement and health care issues for BenefitsPRO and ALM Media. He greatly enjoys learning from the vast minds in the legal, academic, advisory and money management communities when covering the retirement space. He's also written on international marketing trends, financial institution risk management, defense and energy issues, the restaurant industry in New York City, surfing, cigars, rum, travel, and fishing. When not writing, he's pushing into some land or water.