PBGC insures traditional pensions. So for years, we told people that we had nothing to do with defined contribution plans, such as 401(k)s.
But we're also interested in the retirement security of all Americans. That's why we're considering a program that would deal with the benefits of missing participants in terminated defined contribution plans.
We're looking for feedback from participants, employers, and retirement experts on the value of developing such a program. We need input on the scope of the problem of missing participants and the need for PBGC to take in the benefits and look for people.
Also, we want to understand the value of a database where people can search for their benefits, and the impact that a PBGC program might have on private companies that perform similar services.
According to the Department of Labor, in 2010, the most recent year available, there were more than 650,000 defined contribution plans with 88 million people. That same year, about 29,000 defined contribution plans, covering some 1.2 million people, terminated.
This effort would expand our finding an unclaimed pension search on the agency's website, where visitors can see if they're owed a traditional pension benefit from one of the failed plans PBGC assumed.
To make good decisions, and before we act, we're inviting the public to weigh in. You can submit your comments through firstname.lastname@example.org.