The 2021 PBGC Premium Burden Report

In this report, our fifth annual on the PBGC Premium Burden, we’re happy to report that our efforts to identify suboptimal practices in this area appear to have appeared to have made a difference. Today, far fewer plan sponsors are paying PBGC Variable Rate Premiums and of those that still are, fewer sponsors are leaving money on the table than at any previous year since we began publishing this report.

That said, some sponsors continue to use practices that could be costing them several millions of dollars per year. The report outlines best practices and shows how some sponsors are paying more to the PBGC than they need to. That’s money they are spending simply for the right to pay former employees a benefit at some point in the future.