More retirement-related regulatory news for plan sponsors, including links to detailed information.
Maximum monthly guarantee tables revised
The Pension Benefit Guaranty Corporation (PBGC) has updated the maximum guarantee tables. The PBGC maximum guarantee for participants in single-employer plans is determined using a formula prescribed by federal law that calls for periodic increases tied to a Social Security index. The formula provides lower amounts for younger ages, reflecting the fact that younger people will receive more monthly pension checks over their expected lifetimes. Conversely, amounts are higher for older ages. The formula also calls for reducing the amount for retirees who choose a payment form that continues benefits to a beneficiary after the retiree’s death.
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