PBGC Deficit Report Shows Dire Situation for Multiemployer Plans
The latest deficit increase was driven primarily by the
ongoing financial decline of several large multiemployer plans that are
expected to run out of money in the next decade.
Tag: Actuarial issues
IRS Publishes Final Rule Regarding Mortality Tables
Three documents set forth mortality tables to be used by certain DB plans in actuarial assumptions and the procedures to request the use of plan-specific mortality tables instead.
PBGC Asking to Seek More Information From DB Plans on Form 5500
The agency says the additional information would help it with projections regarding its insurance programs.
DB Plan Sponsors Taking Actions to Avoid Increased PBGC Premiums
DB plan sponsors are accelerating funding of their plans and adopting more de-risking strategies, a survey finds.
Help DB Plan Clients See How Funding Affects Bottom Line
Putting more into pensions cuts into plan sponsors' operating cash, which should be considered for their DB funding and investment strategies.
Retirement Industry People Moves
Cetera Expands
Retirement Business; Mercer Expands
Leadership in Detroit Office; OneAmerica Names West
Coast Relationship Executive.
DB Plan Sponsors Using Different Strategies for Cost, Funding Measures
PwC finds some DB plan sponsors are using multiple discount rates, and some have moved to mark-to-market accounting.
New Comparability Plans Popular Among Small, Professional Companies
They
allow the plan to give higher contributions to the owners.
Measurements of DB Plan Funding Serve Different Purposes
A paper from the American Academy of Actuaries gives examples of which DB plan funding measurements are useful for different plan sponsor situations.
Retirement Industry People Moves
InTrust Fiduciary Joins CAPTRUST; Nuveen Expands DCIO
Business; Stadion Names Chief Business
Development Officer; and more.
New Mortality Tables to Increase PBGC Premiums Significantly
The IRS’s proposed increases in mortality assumptions will raise PBGC premiums for single-employer pension plans from $8.6 billion to $9.6 billion.
DB Plan Sponsors Missing Opportunities to Reduce PBGC Premiums
A report contends that not optimizing their contribution recording and timing caused DB plan sponsors to overpay PBGC premiums.
FASB Issues Update to Accounting Standards Codification
The amendments involve the presentation of net periodic pension cost and net periodic postretirement benefit cost.
U.S. Public Pension System Faces Many Hurdles
A new survey report from S&P Global Ratings examining the pension
plans of the 15 largest U.S. cities “reveals some common trends and key factors
related to net pension liability per capita and funded ratios.”
MassMutual Custom Yield Curve Solution Offers More Transparency
Custom yield curves help DB plan sponsors determine an appropriate discount rate to measure liabilities for their pension and other post-retirement benefit obligations, the firm says.
Possibility DB Funded Status Could Improve in 2017
“If interest rates continue to climb, the funded ratio could make some major gains,” says Zorast Wadia, at Milliman.
DB Plan Sponsors Need to Prepare for Lack of Funding Relief
Funding relief for defined benefit plans is currently scheduled to end in 2020, and plan sponsors could face a spike in contributions.
FASB Considering Change to Pension Cost Reporting
The board says stakeholders have stated that the current presentation requirement has less value and requires users to incur greater costs in analyzing financial statements.
New Mortality Improvement Scale Could Reduce Pension Obligations
Based
on the Society of Actuaries' preliminary estimates, the new scale may reduce pension plan clients' current
liabilities by 1.5% to 2%, depending on the individual characteristics of the
plan.
United Technologies Announces Pension Buyout, Lump-Sum Window
The company expects the actions will reduce the overall size of its pension obligations by approximately $1.77 billion.