google bot detected Pension Benefit Guarantycorporation Pbgc | Insurance Glossary |

Pension Benefit Guarantycorporation Pbgc

Definition of "Pension benefit guarantycorporation (pbgc)"

Rhonda Townsend
  Continental Properties Inc

Independent federal government organization authorized by the employee retirement income security act of 1974 (erisa) to administer the pension plan termination insurance program. Its function is to ensure that vested benefits of employees, whose pension plan is being terminated, will be paid as they come due. The PBGC board of directors consists of the U.S. Secretaries of Labor, Commerce, and Treasury. Only qualified defined benefit plans are guaranteed; profit sharing plans, stock bonus plans, and money purchase plans are not. Plan termination insurance covers both voluntary termination and terminations ordered by the PBGC. Employers pay an annual premium rate per employee in their pension plans to the PBGC to finance the plan termination insurance program.

Related Real Estate Glossary terms

Related Real Estate FAQ