Practitioners
Premium Rates
Flat-rate premiums
The per-participant flat premium rate for plan years beginning in 2017 is $69 for single-employer plans (up from a 2016 rate of $64) and $28 for multiemployer plans (up from a 2016 rate of $27).
The increase in the single-employer rate was provided in The Bipartisan Budget Act of 2015. The increase in the multiemployer rate is the result of indexing.
For information about future rates, see "Scheduled increases for years after 2017" section below.
Variable-rate premiums (single-employer plans only)
For plan years beginning in 2017, the variable-rate premium (VRP) for single-employer plans is $34 per $1,000 of unfunded vested benefits (UVBs), up from a 2016 rate of $30. This $4 increase reflects a $3 increase provided in The Bipartisan Budget Act of 2015 plus a $1 increase due to indexing.
For 2017, the VRP is capped at $517 times the number of participants (up from a 2016 cap of $500). Plans sponsored by small employers (generally fewer than 25 employees) may be subject to a lower cap.
Multiemployer plans do not pay a VRP.
For information about future rates, see "Scheduled increases for years after 2017" section below.
Current and historical information
|
Plan years beginning in |
Single-Employer Plans |
Multiemployer Plans | ||
|---|---|---|---|---|
|
Per Participant Rate for Flat-Rate Premium |
Variable-Rate Premium |
Per Participant Rate for | ||
|
Rate per $1,000 UVBs |
Per Participant Cap | |||
|
2017 |
$69 | $34 | $517 | $28 |
|
2016 |
$64 | $30 | $500 | $27 |
|
2015 |
$57 | $24 | $418 | $26 |
|
2014 |
$49 | $14 | $412 | $12 |
|
2013 |
$42 | $9 | $400 | $12 |
|
2012 |
$35 | $9 | N/A | $9 |
|
2011 |
$35 | $9 | N/A | $9 |
|
2010 |
$35 | $9 | N/A | $9 |
|
2009 |
$34 | $9 | N/A | $9 |
|
2008 |
$33 | $9 | N/A | $9 |
|
2007 |
$31 | $9 | N/A | $8 |
PBGC's Pension Insurance Data Tables contain a complete history of premium rates.
Scheduled increases years after 2017
The Bipartisan Budget Act of 2015 provided for increases to the single-employer flat-rate premium and VRP rate for 2017, 2018, and 2019. With the exception of the single-employer flat-rate premium, rates are also subject to indexing for those years. A summary of the applicable rates (before reflecting indexing) for 2018-2019 is shown below:
|
Plan years beginning in |
Single-Employer Plans |
Multiemployer Plans | ||
|---|---|---|---|---|
|
Per Participant Rate for Flat-Rate Premium |
Variable-Rate Premium |
Per Participant Rate for | ||
|
Rate per $1,000 UVBs |
Per Participant Cap | |||
|
2018 |
$74 | $38* | $517* | $28* |
|
2019 |
$80 | $42* | $517* | $28* |
Rates shown with an asterisk (*) are subject to indexing and therefore might be higher than the amount shown above. After 2019, all rates are subject to indexing. There are no scheduled increases (other than indexing) for years after 2019.
Termination premiums
For certain distress or involuntary terminations, a special termination premium must be paid to PBGC for three years. For more information, see Termination Premiums.
