PBGC Issues Final Rule on Valuation Assumptions and Methods for Single-Employer Pension Plans, Valuation of Benefits and Assets, and Expected Retirement Age
Published November 28, 2023
The Pension Benefit Guaranty Corporation (PBGC) released a final rule amending the regulation on Allocation of Assets in Single-Employer Plans by substituting a new table for determining expected retirement ages for participants in pension plans undergoing distress or involuntary termination with valuation dates falling in 2024. If a plan has a valuation date in 2024, the plan administrator needs the updated table to compute the value of early retirement benefits and the total value of benefits under a plan.
The final rule is effective January 1, 2024.