UNDER FUNDED PBGC Lumpsum Restriction

[Guest DORIGHT]

This is probably easily answered.

Is there an additional restriction below a 50% lumpsum option when the lumpsum amount exceed the PBGC Guarantee amount?

For an individual age 55 is this $349,238?

If the Notice provided to participants only tells of the 50% restriction, is the Notice in sufficient?

What should we do now? Send additional Notices? Will we be fined?

I am sorry I should have said the Plan is at 75% funding.

[david rigby]

If the AFTAP is between 60% and 80%, then one restriction applies. Notice required.

If the AFTAP later changes and is less than 60%, then another restriction applies. Notice required.

"For an individual age 55 is this $349,238?"

Please detail where you got (or derived) this amount.

[Guest DORIGHT]

If the AFTAP is between 60% and 80%, then one restriction applies. Notice required.

If the AFTAP later changes and is less than 60%, then another restriction applies. Notice required.

"For an individual age 55 is this $349,238?"

Please detail where you got (or derived) this amount.

I got this number from http://www.pbgc.gov/practitioners/miscella...ables/pvmg.html

Present Value of PBGC Maximum GuaranteePresent Value of the Maximum PBGC Guaranteed Benefit under IRC Section 436(d)(3)(A)(ii) and ERISA Section 206(g)(3)©(i)(II)