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Window of Opportunity Available for Reducing 2023 PBGC Premiums

Single-employer defined benefit pension plans that have elected to use the “alternative method” for determining Pension Benefit Guaranty Corporation (PBGC) premiums have a window to take action that may significantly reduce...more

New Philadelphia Commuter Benefit Ordinance Requires Employers to Provide Qualifying Mass Transit Benefits

The City of Philadelphia has enacted an ordinance requiring commuter benefits for employees, effective December 31, 2022 (the Ordinance). The Ordinance applies to employers who employ 50 or more “covered employees” in...more

Sponsors of Traditional Defined Benefit Plans with Lump Sum Distribution Option Should Prepare for Challenging Year-End

Many traditional defined benefit plans, such as final average pay plans, offer a lump sum distribution as an optional form of benefit. The amount of the lump sum distribution is sensitive to the applicable interest rate...more

Last Year, We Warned Your 2020 PBGC Premiums Could Be Much Higher than You Expected – 2021 May Be Worse

As we noted in a post last year at this time, pension plans that are not fully funded for PBGC purposes have two parts to their PBGC premium. One part is a flat rate premium of $83 per participant in 2020 ($86 for 2021, as...more

IRS Issues More Guidance on Required Minimum Distributions

IRS Notice 2020-51, released last week, provides additional guidance on the waiver in 2020 of required minimum distributions (RMDs) from defined contribution retirement plans and IRAs, and the interaction of this waiver with...more

IRS and PBGC Postpone Tax Day for Many Employee Benefit Plan Filings

The Internal Revenue Service and Pension Benefit Guaranty Corporation have extended the due dates for certain federal returns and payments. Affected filings will now be due on July 15, 2020....more

COVID-19 - Implications for Self-Insured Plans With Stop Loss Insurance Coverage

Employers with self-insured health plans may be thinking about making coronavirus (COVID-19)-related changes, such as waiving the patient responsibility portion of the charge for a hospital stay that is related to COVID-19....more

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