United States Government Publishing Office publisher pbl distributor dst United States Government Accountability Office author aut Government Organization text government publication eng GAOREPORTS Legislative Agency Publications gao legislative 2010-08-12 U.S. Government Printing Office 2005-05-31 monographic deposited born digital 62 p. GA 1.13:GAO-05-294 https://www.govinfo.gov/app/details/GAOREPORTS-GAO-05-294 P0b002ee18038bc09 f:d05294 DGPO 2010-08-12 2011-03-28 GAOREPORTS-GAO-05-294 machine generated eng fdlp REPORT GAOREPORTS-GAO-05-294 GAO-05-294 Amortization Employee retirement plans Federal funds Fringe benefits Funds management Interest rates Pensions Program evaluation Program management Risk management Financial analysis Benefit-cost tracking Defined benefit plans Other Written Product A25378

Pension funding rules are intended to ensure that plans have sufficient assets to pay promised benefits to plan participants. However, recent terminations of large underfunded plans, along with continued widespread underfunding, suggest weaknesses in these rules that may threaten retirement incomes of these plans' participants, as well as the future viability of the Pension Benefit Guaranty Corporation (PBGC) single-employer insurance program. We have prepared this report under the Comptroller General's authority, and it is intended to assist the Congress in improving the financial stability of the defined benefit (DB) system and PBGC. We have addressed this report to each congressional committee of jurisdiction to help in their deliberations. This report examines: (1) the recent funding and contribution experience of the nation's largest private DB plans; (2) the funding and contribution experience of large underfunded plans, and the role of the additional funding charge (AFC); and (3) the implications of large plans' recent funding experiences for PBGC, in terms of risk to the agency's ability to insure benefits. https://www.govinfo.gov/content/pkg/GAOREPORTS-GAO-05-294/html/GAOREPORTS-GAO-05-294.htm https://www.govinfo.gov/content/pkg/GAOREPORTS-GAO-05-294/pdf/GAOREPORTS-GAO-05-294.pdf GAO-05-294 https://www.govinfo.gov/app/details/GAOREPORTS-GAO-05-294 Other Written Product GAO-05-294; Private Pensions: Recent Experiences of Large Defined Benefit Plans Illustrate Weaknesses in Funding Rules; Amortization Employee retirement plans Federal funds Fringe benefits Funds management Interest rates Pensions Program evaluation Program management Risk management Financial analysis Benefit-cost tracking Defined benefit plans Title 26 Section 412(b)(5)(B) Title 26 Section 412(l) Title 26 Section 412(l)(9)(C) Title 26 Section 4972(c)(7) 26 U.S.C. 412(b)(5)(B) 26 U.S.C. 412(l) 26 U.S.C. 412(l)(9)(C) 26 U.S.C. 4972(c)(7) Title 29 Section 1310 Title 29 Section 1342(a) 29 U.S.C. 1310 29 U.S.C. 1342(a) Title 1526 Section 412(c)(2)(A) 1526 U.S.C. 412(c)(2)(A)