Guidance Document Database

A fully insured plan is covered under Title IV and must pay premiums to PBGC.

A plan document’s provision allowing for reversion of residual plan assets to the plan sponsor was invalid and therefore residual assets were required to be distributed to participants.

PBGC suspended the processing of a plan termination following receipt of a letter from a union that the termination of the plan violated the terms of a collective bargaining agreement.

The sponsor of a multiemployer plan, other than a plan that primarily covers employees in the building and construction industry, may adopt any of the statutory allocation methods and any of the modifications set forth in §§ 4211.12 and 4211.13, without PBGC’s approval. PBGC will not opine on whether such adoption is consistent with trustees’ fiduciary duties.

Addresses the method of calculating the withdrawal liability of a purchaser of the assets of an unrelated contributing employer.

Regards a statutory provision under which a contributing employer to a multiemployer plan that sells its assets to an unrelated buyer does not withdraw from the plan if (among other things) the buyer posts a bond or escrow for 5 years and the sales contract makes the seller secondarily liable if the buyer withdraws during the 5 plan years after the sale. Addresses whether that exception to withdrawal applies if the buyer initially posts a bond for only the first two years.

PBGC did not issue a premium refund for plan that it found was not terminated.

Pharmacist is a professional individual for purposes of the Professional Service Employer plan exemption.

Plan termination date agreed to by PBGC and the company was after participants had constructive notice of termination .

Addresses the special partial withdrawal rule for the retail food industry, and the meaning of “retail food industry.”

Professional service employer plans and individual account plans are excluded from coverage.

A profit-sharing benefit in the plan is nonforfeitable and a pension benefit because the plan states it may be paid as an annuity. Because PBGC guarantees and pays the benefit as an annuity, it won’t be paid in a lump sum if the plan is insufficient.

Addresses the determination of withdrawal liability and the procedure to dispute withdrawal liability.

Plan does not meet the Professional Service Employer plan exemption. Plan is covered under Title IV because number of active participants exceeds 25.

Plan is governed by laws of Virgin Islands. Plan is not a qualified plan and is exempt from coverage under Title IV.

Addresses (1) whether vested ancillary benefits may be included in the calculation of unfunded vested benefits; (2) the meaning of "nonforfeitable benefit"; (3) what actuarial assumptions may be used to calculate unfunded vested benefits.

Addresses the rules governing the transfer of assets from multiemployer plan to single-employer plan; addresses the withdrawal liability consequences of transferring assets to a single employer plan.

PBGC accepted the withdrawal of a plan’s notice of intent to terminate because employers would continue to make contributions pursuant to their collective bargaining agreements and the plan participants would continue to receive credit under the plan for service with contributing employers.

Title IV excludes a defined benefit plan to the extent it is treated as an Individual account plan under 1002(35)(B).

A plan maintained by a union and funded only by contributions from union members is not covered under Title IV

Addresses how to reduce withdrawal liability for liability already assessed for a previous partial withdrawal. PBGC subsequently adopted a rule addressing the issue. (See 29 CFR part 4206.)

Plan meets the Nonresident Alien plan coverage exemption. All plan participants and records regarding plan located in Hong Kong.

PBGC will not insure annuities purchased by a terminated multiemployer plan and PBGC is not authorized to pay benefits when a non-insolvent multiemployer plan terminates.

Plan meets the Governmental plan coverage exemption.

Addresses the calculation of reallocation liability when calculating withdrawal liability under the "presumptive method" and whether to include the unfunded vested benefits of an employer that is subject to the construction rule.