Defined Benefit and 501(c)(3) Inurement

[ERISA-Bubs]

A 501©(3) entity maintains a defined benefit plan. For purposes of determining whether "compensation" is an "excess benefit transaction" (i.e. has appropriate "comparability), vested retirement benefits are included for a defined benefit plan. Is the benefit included in "compensation" at retirement or is it determined based on the present value of the accrued benefit? Is it based on a straight life annuity (the normal form) or a lump sum? How can an older participant fund for maximum benefits without violating the private inurement rules?older