Variable Rate Premiums

[Guest Astro]

I can't find anything in the proposed pension reform legislation (H.R. 2803 or S. 1783) that discusses variable rate premiums. I know they are proposing an increase in the single-employer flat rate premium. Anybody know if variable rate premiums are proposed to increase, too?

[david rigby]

See law (passed and signed I think) in December. Title was something like "Deficit Reduction Act of 2005".

http://thomas.loc.gov/

[SoCalActuary]

Variable rate stays at $9 per $1000 underfunding.

The new act changes the flat rate to $30. This will be indexed on wages yearly.

But the proposed legislation would change the calculation to require use of the banded yield curve

for measurement of the underfunding.

At the LA BC, the Treasury representatives say the legislation will pass, it's just a question of when.