Retirement Plan News

Pension finances lost ground in March due to declining stock markets, but higher interest rates softened the blow. Both model plans we track[1] lost 1% last month, and are now slightly underwater through the first quarter of 2026:

On January 27, 2026, the US Federal District Court for the Western District of North Carolina, in Peeler v. Bayada, rejected plaintiffs’ claims that defendant plan fiduciaries violated ERISA’s prudence and prohibited transaction rules, dismissing them based on plaintiffs' failure to show they suffered “a non-speculative financial loss” and thus did not have standing to sue.

What stands out most to me is the people. There’s a genuine sense that people care about you, both personally and professionally. You’re encouraged to ask questions, keep learning, and collaborate across the firm. Because October Three is still growing, there are also a lot of opportunities to take on new challenges and grow

On April 1, 2026, the Department of Labor published Technical Release 2026-01, “Application of ERISA Fiduciary Requirements and Preemption Provisions to Proxy Advisory Services.” We provide a brief note on DOL’s guidance.

Did you leave a pension benefit with a prior employer? If you received a “Statement of Deferred Benefits,” you may have a Deferred Benefit Pension waiting for you at retirement.

When pension professionals hear “Cash Balance Plans,” it evokes memories from the last century, of an actuarial trick-turned hybrid pension design that was popular among employers looking to get away from traditional pension plans, and then fell out of favor as the shortcomings became apparent.

Pension finances lost ground in March due to declining stock markets, but higher interest rates softened the blow. Both model plans we track[1] lost 1% last month, and are now slightly underwater through the first quarter of 2026:

Though traditional 401(k) and 403(b) plans can be effective, their contribution limits often make them less attractive to high-income partners and executives, who are often searching for ways to save more and reduce corporate taxes. Cash Balance plans, on the other hand, offer an accelerated savings vehicle that allows for increased contributions and significant tax advantages. In this article, we explore how Cash Balance plans can support executive retention and reduce individual and corporate taxes in 2026.

In this article, we discuss the importance of employee benefits communication, particularly as they apply to pension plans. We discuss ongoing problems with pension communications, why this problem exists, and how it can be improved to the benefit of participants and organizations alike.

Electing to terminate a defined benefit pension plan is one of the most effective ways to eliminate long-term risk. But for many organizations, plan termination is not a simple process – it involves rules and processes dictated by government regulations. Decisions have to be made with the best interests of your participants in mind, and longer processes often equal greater costs.

On March 16, 2026, a divided three-judge panel of the Sixth Circuit, in Reichert, et al. v. Kellogg Co., et al./Watt, et al. v. FedEx Corp., et al., sided with plaintiff-participants in a defined benefit plan actuarial equivalence lawsuit, reversing and remanding a lower court decision dismissing plaintiffs’ claims. In doing so, the Sixth Circuit found that ERISA requires that, in making a qualified joint and survivor annuity conversion, actuarial assumptions (in this case, mortality assumptions) must be reasonable.

What’s most unique about working at October Three is the combination of expertise and genuinely great people. We’re not just pushing plans on people. We’re building thoughtful, well-designed strategies that can truly impact someone’s future. Clear answers come from clear conversations, and that only works because the team is both incredibly smart and incredibly supportive. It creates a culture of hungry, humble, and smart people that makes the work meaningful every day.

Both annuity purchase interest rates declined by an average of 16 basis points entering the month of March. As a result, plan sponsors experienced some pressure on pension funding levels, as lower interest rates increased liabilities. Since the start of the month, the 10-year and 30-year Treasury rates, which closely correlate with annuity purchase rates, have shown some upward movement, suggesting this decline could be temporary. With many pension plans still in a healthy funded position and interest rates remaining above historical averages, plan sponsors have an opportunity to stay proactive. As we move into the second quarter of 2026, insurer participation and pricing remain competitive, presenting plan sponsors with an ideal window to explore de-risking strategies and manage pension risk effectively.

Pension liabilities are the present value of the retirement benefits a defined benefit pension plan has promised to pay its employees. In other words, if we think of a pension plan as a debt that sponsors have promised to pay, then the value of that debt can be seen as the pension liability.

In this article, we briefly discuss why employer-sponsored DB plans can provide — for the same account balance — annuities that are 15-30% larger than a participant in a 401(k) plan can purchase — what we call the "DB annuity advantage."