Pension News

The Pension Committee submitted a comment letter to the Internal Revenue Service (IRS) responding to proposed regulations for partial annuity distribution options under defined benefit (DB) pension plans, commenting specifically on the proposed structure of Section 417(e) exemptions, and transition issues.
(May 3, 2012)
The Pension Committee submitted a comment letter to the Internal Revenue Service responding to proposed regulations for longevity annuity contracts.  The letter commended the IRS and Treasury Department for focusing on the problem of longevity risk, and recommended modest changes to the proposed regulations to further enhance retirement security.
(May 3, 2012)
The Pension Practice Council submitted a letter to members of the House-Senate Conference Committee commenting on the pension funding stabilization provisions included in S. 1813 as passed by the Senate.  The PPC recommended that to the extent the conference committee chooses to include pension funding changes in the final legislation to create more stability in contributions for plan sponsors, this could be accomplished better by smoothing outputs (contribution requirements) rather than inputs (discount rates).
(May 2, 2012)
The Pension Practice Council published a new issue brief examining the Pension Benefit Guaranty Corporation (PBGC) premium structure and current proposals to revise that structure.  The issue brief discusses and differentiates between two categories of costs faced by the PBGC: going-forward costs and legacy costs.
(April 26, 2012)
The Academy has published two guides to help voters better understand the long-term financial challenges facing Medicare and Social Security. Read what to ask candidates—and how to evaluate their answers—about proposals for reforming these programs. The guides are part of the Academy’s Campaign 2012 Toolkits. For more information on the release of the guides, click here.  (April 20, 2012)
The Pension Accounting Committee and Public Plans Subcommittee submitted a joint letter to the Governmental Accounting Standards Board (GASB) in response to GASB's Preliminary Views on Economic Condition Reporting: Financial Projections.  The letter addressed several of the questions posed to respondents in the Preliminary Views from an actuarial perspective with respect to pension and postretirement obligations.
(April 2, 2012)
The Academy’s Social Security Committee published a guide to analyzing Social Security reform proposals. Visit the Campaign 2012 Toolkit page for more information.
(March 27, 2012)
If you missed the March 7 webinar on lifetime income, you can download the slides for free or order a recording of the webinar for a small fee. Noel Abkemeier and Tonya Manning, co-chairpersons of the Academy’s Joint Lifetime Income Risk Task Force, provided an overview of the risks of inadequate lifetime income, current options to address the risks, and the range of policy solutions to help retirees better prepare for managing lifetime retirement needs. Tom Terry, chairperson of the Public Interest Committee, also announced new Academy initiatives underway to advance the discussions surrounding longevity risk.
(March 7, 2012)
The Pension Committee submitted a letter to the Internal Revenue Service and Department of the Treasury addressing elections to reduce funding balances for defined benefit pension plans. (February 16, 2012)
Don't miss the chance to learn about the risks of inadequate lifetime income, current options to address the risk, the range of policy solutions to help retirees better prepare for managing lifetime retirement needs, and new initiatives underway within the Academy to advance the discussions surrounding longevity risk. Attendees will learn about the characteristics of lifetime income risk, important steps recently taken by the federal government designed to enhance lifetime retirement security, and how the unique skills of the actuarial profession can contribute to solutions. (February 9, 2012)
The Pension Committee submitted a letter to the Internal Revenue Service and Department of the Treasury concerning differing interpretations in the application of IRC Section 415(b) limits and requesting guidance. (January 30, 2012)
The Academys Pension Accounting Committee and Joint Committee on Retiree Health submitted a comment letter to the National Association of Insurance Commissioners (NAIC) on the exposure drafts of Statements of Statutory Accounting Principles (SSAP) No. 92 and No. 102. These exposure drafts are intended to replace existing standards governing accounting for pension benefits and postretirement benefits other than pensions (OPEBs). (December 9, 2011)
The Academy’s Pension Committee submitted a letter to the IRS and Department of Labor concerning a possible error in the instructions for Form 5500, Schedule H on the reporting of premium payments made to the PBGC from qualified DB plan assets. Click here to read the PBGC response to the Pension Committee's Inquiry. (October 17, 2011)
The Academy's Pension Practice Council submitted comments to the Governmental Accounting Standards Board (GASB) in response to two exposure drafts on pension accounting and financial reporting by employers. (October 17, 2011)
The Academy hosted a jointly sponsored Capitol Hill briefing, Important New Research Findings Indicate a “Rising Tide” of Contributions Facing Defined Benefit Pensions, with the Society of Actuaries on Oct. 11 to present new research findings from the actuarial profession that illustrate a “rising tide” of pension funding challenges facing the private defined benefit system. Presenters discussed important implications for plan sponsors, beneficiaries, and policymakers.

 

(October 12, 2011)
The Academy's Pension Committee submitted a comment letter to the Actuarial Standards Board regarding the discussion draft of proposed revisions to ASOP No. 4, Measuring Pension Obligations and Determining Pension Plan Costs or Contributions. (October 12, 2011)
Presenters from the American Academy of Actuaries and Society of Actuaries discussed new research findings from the actuarial profession that illustrate pension funding challenges facing the private defined benefit system. Presenters also discussed important implications for plan sponsors, beneficiaries, and policymakers. Speakers: Academy Vice President Ethan Kra, SOA Vice President Tom Terry, SOA Research Actuary Joe Silvestri, and Academy Senior Pension Fellow Don Fuerst. (October 12, 2011)
The Academy is hosting a jointly sponsored Capitol Hill briefing with the Society of Actuaries on Oct. 11 to present new research findings from the actuarial profession that illustrates a “rising tide” of funding challenges facing the private defined benefit system. Presenters will discuss important implications for plan sponsors, beneficiaries, and policymakers. Learn more. (September 30, 2011)
The Academy's Social Security Committee urged President Obama and congressional leaders to improve the long-term solvency and sustainability of Social Security whether in a broader deficit-reduction package or through an alternative legislative track. (September 23, 2011)
The Academy's Pension Committee submitted a comment letter to the Pension Benefit Guaranty Corporation regarding the calculation of unfunded vested benefits for at risk pension plans. (September 22, 2011)