US pension plans subject to ERISA have generally used corporate bond yields for the discounting calculation. However, plans have long adopted allocations that seek not only to protect the plan from moves in interest rates, but also to generate superior returns to help offset the cost of the ...
The IFR provides a few clarifications on eligibility. As expected, the PBGC reiterated that a plan that terminated in a plan year that ended before January 1, 2020 is not eligible for SFA because it would not be subject to the special funding rules for endangered, criti...
appliestoplanadministratorsofparticipant-directeddefinedcontributionplans(including403(b)plans)thataresubjecttoERISA.Thisruledoesnotapplytogovernmentalplans,churchplansthatdonotelecttobecoveredbyERISA(“nonelectingchurchplans”),ornon-ERISA403(b)plans.BackgroundandsummaryUnderERISA,planfiduciariesarerequiredtoact...