Trump’s tax cuts in 2017 helped decrease risks for pension plans

2021-03-24T14:07:56-07:00March 24th, 2021|Categories: Defined Benefit Plans|Tags: |

Defined-benefit pensions are an economically significant source of retirement income in the United States. About 37 million private sector workers rely on one of the 25,000 defined-benefit plans sponsored by the Pension Benefit Guaranty Corporation (PBGC) for retirement income. These employees receive a defined sum of money, i.e., “defined benefit”, on retirement. A key feature of defined-benefit plans, which differentiates them from defined-contribution plans, is that the responsibility for funding future benefits falls primarily on the company sponsoring the [...]