The Pension Benefit Guaranty Corporation (PBGC) has released a final rule amending regulations for pension plans facing financial difficulties or closure. This update introduces a new table to determine the expected retirement ages of participants in plans with valuation dates in 2025, which helps calculate early retirement benefits. Additionally, the rule provides a mortality assumption for PBGC's program dealing with missing participants in pension plans for the upcoming year. PBGC determined that no public comment was necessary for these routine changes and that the updates are effective from January 1, 2025.
Simple Explanation
The Pension Benefit Guaranty Corporation (PBGC) has updated some rules to help figure out when people can start using their retirement money if their company's plan is closing. They've made new charts to make these calculations for 2025 and also added rules for handling missing people from retirement plans.