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PBGC Comprehensive Premium Filing Instructions for 2021 Available

Government Affairs

The Pension Benefit Guaranty Corporation (PBGC) on Feb. 25 announced that its Comprehensive Premium Filing Instructions for 2021 Plan Years are now available. The agency has made them available on its website after approval by the Office of Management and Budget (OMB). 

What’s New 

The filing requirements for 2021 are almost identical to those for 2020. Nonetheless, there are some changes: 

CSEC Plans. The instructions now reflect the provisions of Section 206 of the SECURE Act of 2019, which changed the way plans covered by the special funding rules provided in The Cooperative and Small Employer Charity Pension Flexibility Act, (i.e., CSEC Plans) determine premiums. 

Changes in Premium Rates. For single-employer plans other than CSEC plans, the flat-rate premium is $86 per participant, up from $83; the variable-rate premium is $46 per $1,000 of unfunded vested benefits capped at $582 times the number of participants, up from $45 per $1,000 of unfunded vested benefits capped at $561 times the number of participants. For multiemployer plans, the flat-rate premium is $31 per participant, up from $30. 

Premium Filing with My PAA Appendix. Because an updated version of My PAA containing several enhancements will be used for 2021 premium filings, much of the information provided in the 2020 Appendix 3 was no longer accurate and has been removed from these instructions. 

Transfers Between Plans. The PBGC combined two prior plan transfer questions into one to better align with how the question appears on the revised My PAA screens. In some cases, additional information is required to be provided regarding plan-to-plan transfers (e.g., whether a beginning of year transaction was de minimis).