Source: https://www.federalregister.gov/documents/2009/05/15/E9-11373/benefits-payable-in-terminated-single-employer-plans-interest-assumptions-for-valuing-and-paying
Timestamp: 2018-07-20 07:21:03
Document Index: 159252775

Matched Legal Cases: ['art 4022', 'art 4022', 'art 4022', 'art 4022', 'art 4022', 'art 4022', 'art 4022']

A Rule by the Pension Benefit Guaranty Corporation on 05/15/2009
https://www.federalregister.gov/d/E9-11373 https://www.federalregister.gov/d/E9-11373
Pension Benefit Guaranty Corporation's regulation on Benefits Payable in Terminated Single-Employer Plans prescribes interest assumptions for valuing and paying certain benefits under terminating single-employer plans. This final rule amends the benefit payments regulation to adopt interest assumptions for plans with valuation dates in June 2009. Interest assumptions are also published on PBGC's Web site (http://www.pbgc.gov).
This amendment (1) adds to Appendix B to Part 4022 the interest assumptions for PBGC to use for its own lump-sum payments in plans with valuation dates during June 2009, and (2) adds to Appendix C to Part 4022 the interest assumptions for private-sector pension practitioners to refer to if they wish to use lump-sum interest rates determined using PBGC's historical methodology for valuation dates during June 2009.
The interest assumptions that PBGC will use for its own lump-sum payments (set forth in Appendix B to part 4022) will be 3.75 percent for the period during which a benefit is in pay status and 4.00 percent during any years preceding the benefit's placement in pay status. These interest assumptions represent an increase (from those in effect for May 2009) of 0.25 percent in the immediate annuity rate and are otherwise unchanged. For private-sector payments, the interest assumptions (set forth in Appendix C to part 4022) will be the same as those used by PBGC for determining and paying lump sums (set forth in Appendix B to part 4022).
Because of the need to provide immediate guidance for the valuation and payment of benefits in plans with valuation dates during June 2009, PBGC finds that good cause exists for making the assumptions set forth in this amendment effective less than 30 days after publication.
2. In appendix B to part 4022, Rate Set 188, as set forth below, is added to the table.
3. In appendix C to part 4022, Rate Set 188, as set forth below, is added to the table.
Issued in Washington, DC, on this 7th day of May 2009.
[FR Doc. E9-11373 Filed 5-14-09; 8:45 am]