Sponsors of private sector defined benefit pension plans are looking to make accelerated voluntary contributions to plans in the wake of tax reform, according to multiple pension consultants.
Already, a number of large DB plan sponsors have announced increased voluntary contributions: FedEx, Lockheed Martin, Pfizer, and Harris Corp. are among them.
In slashing the corporate marginal tax rate to 21 percent from 35 percent, the tax bill is expected to motivate more contributions above the statutory minimum, as sponsors look to benefit from deducting contributions at the higher of the two rates.
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