Pension Benefit Guaranty Corporation


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Pension Benefit Guaranty Corporation (PBGC)

A federal agency that insures the vested benefits of pension plan participants (established in 1974 by the ERISA legislation).

Pension Benefit Guaranty Corporation

A non-profit corporation under the United States Department of Labor guaranteeing the pensions of some private companies. Established in 1974, it is designed to take over the pensions of participating companies should they become insolvent. It does not derive its revenues from taxation; rather, it collects premiums from participating companies as if it were an insurance policy. It was not designed to protect bankrupt companies; rather, it exists as part of a social safety net for former employees of these companies. It is headed by a Director, who is appointed by the U.S. President upon confirmation of the Senate.

Pension Benefit Guaranty Corporation

A government agency that insures certain corporate pension funds. The Corporation, established under the Employee Retirement Income Security Act, is funded by charging companies a premium based on the number of covered employees.

Pension Benefit Guaranty Corporation (PBGC).

The PBGC was created to ensure that participants in defined benefit pension plans under its jurisdiction will receive at least a basic pension if the plans are terminated because they're underfunded and so unable to meet their obligations.

The maximum benefit is adjusted each year for plans terminated in that year to reflect increases in Social Security.

Covered plans, which include those with 25 or more participants, must pay annual premiums to the PBGC to help fund this federal corporation.

The PBGC also tries to find people who participated in, and are due benefits from, plans that are no longer operating.

References in periodicals archive ?
The Government Accountability Office warned in January that if other large companies like United decided to ditch their pensions, then the finances of the Pension Benefit Guaranty Corporation would be in grave jeopardy.
Pension Benefit Guaranty Corporation (PBGC) places a strong emphasis on the individual's taking responsibility for his or her own development.
A pamphlet that provides a synopsis of the various correction programs operated by the IRS, the Department of Labor (DOL) and the Pension Benefit Guaranty Corporation (PBGC).
Department of Labor's Employee Benefits Security Administration, the Internal Revenue Service and the Pension Benefit Guaranty Corporation announced an extension of the deadline for filing Form 5500 and Form 5500-EZ annual returns/reports due to property damage, destruction and power outages that resulted from Hurricane Isabel.
Kandarian, director of the Pension Benefit Guaranty Corporation, warned a House committee Sept.
A guide for small businesses from the Pension Benefit Guaranty Corporation.
The audit, summarized in June 1997 by the Pension Benefit Guaranty Corporation, sampled 374 fully funded terminated plans covering 2,800 participants and found 13.7 percent were underpaid.
Keightley, General Counsel of the Pension Benefit Guaranty Corporation, relating to the annual financial and actuarial reporting requirements imposed under section 4010 of the Employee Retirement Income Security Act of 1974 (ERISA).
Congress needs to improve the solvency of the Pension Benefit Guaranty Corporation and the status of the pension plans it insures.
The new treaty includes Pension Benefit Guaranty Corporation (PBGC) reforms that tighten minimum funding requirements.
LLOYD SWAIM: I think ERISA was enacted to also protect employees' rights, and it's been successful because the Pension Benefit Guaranty Corporation provides some insurance protection for the employees of bankrupt companies.
Every fall, the federal government's Pension Benefit Guaranty Corporation releases a list of the 50 worst corporate offenders, outlining the billions for which they have not provided.

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