Guidance Document Database

Plans that are tax-qualified under IRC 401(a) are covered by Title IV. Plans funded by flexible annuity policies may or may not be designed to achieve a defined benefit objective.

Addresses calculation of partial withdrawal credit using the "modified presumptive method" where contributions are averaged over a 10-year period.

A PBGC premium must be paid for a participant in a plan even though no contributions for that participant to the plan are required because of a floor offset arrangement.

Participation in a plan maintained by more than one employer, some of which are not governmental entities, precludes the application of the Governmental plan exemption.

Conditions under which PBGC would allow a company to restore its pension plan after filing a notice to terminate.

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.

Discusses the rules governing plan termination and notes that the employers may owe withdrawal liability.

Addresses whether incorporation of a sole proprietorship constitutes a withdrawal from a multiemployer pension plan where the successor corporation becomes party to the collective bargaining agreement and continues to contribute to the plan on behalf of its employees for the same operations for which contributions were previously contributed by the sole proprietor.

Licensed clinical laboratory bio-analyst is a professional individual for purposes of the Professional Service Employer plan exemption.

Termination is not subject to the spin-off/termination requirements of the implementation guidelines involving asset reversions since no assets will revert to the plan sponsor.

All affected parties may submit comments to PBGC on a proposed distress termination.

Embalmer and funeral director is not a professional individual for purposes of the Professional Service Employer plan exemption.

Welfare plans are not covered under Title IV.

Addresses the distribution of residual assets to an employer.

A restated plan document created an aggregate of single plans and not a single pension plan, with a valid allocation of assets among those separate plans.

Profit sharing plans are excluded from coverage under Title IV.

Addresses whether a multiemployer plan with only one remaining contributing employer continues to be a multiemployer plan.

A plan that in practice met the criteria for tax qualification for five years prior to its termination date was covered under Title IV at plan termination.

Addresses the bond / escrow requirements of section 4204 of ERISA which, if satisfied along with the other 4204 requirements, mean that a sale of assets by a contributing employer will not constitute a withdrawal from a multiemployer plan.

Plan meets the Governmental plan coverage exemption.

Addresses whether the construction industry exception to withdrawal applies where a contractor's CBA expires, its employees do not perform any more work for which the contractor was previously required to make contributions, but the contractor subcontracts for the performance of such work.

Government contractors are not excluded from PBGC coverage.