Skip to main content


January 15, 2015 Interest Rate Update

envelope image - link to sign-up Sign up to receive Monthly Interest Rate email updates

January 15, 2015

For Lump Sum Payments

The immediate interest rate for valuing lump sum payments for the month of February 2015 is 1.00% and the deferred interest rate I1 is 4.00%, I2 is 4.00%, and I3 is 4.00%.

For Variable-Rate Premiums

The spot first, second, and third segment rates for December 2014 are not yet published by the IRS. An update will be posted when the rates become available. These rates are used to determine the variable rate premium for premium payment years commencing in January 2015 if (A) the plan is using the standard premium funding target and (B) the plan is not a small plan using the lookback rule (see Premium Instructions). 

For ERISA 4044 Annuities

The select and ultimate interest rates for valuing annuity benefits in single-employer plans and multiemployer plans for the month of February 2015 are 2.89% for the first 20 years following the date of plan termination, and 3.12% thereafter.

For Late Premium Payments

The interest rate that PBGC will charge on employer liability, unpaid contributions, and unpaid premiums, for the calendar quarter beginning January 1, and ending March 31, 2015, is 3.00%.

For Overdue or Defaulted Withdrawal Liability

The interest rate to be charged by multiemployer pension plans on withdrawal liability payments that are overdue or in default, or that is to be credited by such plans on overpayments of withdrawal liability during the calendar quarter beginning January 1, and ending March 31, 2015, is 3.25%.


This page was updated on January 15, 2015.