U.S.
GOVERNMENT > Social Support > Pension
Benefit Guaranty Corporation
Who we are
• Mission Statement
• Governance
• Board of Directors
• Director
• Office of Inspector General
• Executive Staff
• PBGC Departments
• PBGC Organization Chart [PDF]
• Advisory Committee Members
• Our Customers
• State-by-state facts & figures
Mission Statement
The Pension Benefit Guaranty Corporation
(PBGC) protects the retirement incomes
of nearly 44 million American workers in
30,330 private-sector defined
benefit pension plans. A defined benefit plan provides a specified monthly
benefit at retirement, often based on a
combination of salary and years of service.
PBGC was created by the Employee Retirement Income Security Act of 1974 to
encourage the continuation and maintenance of private-sector defined
benefit pension plans, provide timely and uninterrupted payment of pension
benefits, and keep
pension insurance premiums at a minimum. Defined benefit pension plans promise
to pay a specified monthly benefit at retirement, commonly based on salary
and years on the job.
PBGC is not funded by general tax revenues. PBGC collects insurance premiums
from employers that sponsor insured pension plans, earns money from investments
and receives funds from pension plans it takes over.
PBGC pays monthly retirement benefits, up to a guaranteed maximum, to about
612,000 retirees in 3,683 pension plans that ended. Including those who have
not yet
retired and participants in multiemployer plans receiving financial assistance,
PBGC is responsible for the current and future pensions of about 1,271,000
people.
The maximum pension benefit guaranteed by PBGC is set by law and adjusted yearly.
For plans ended in 2006, workers who retire at age 65 can receive up to $3,971.59
a month ($47,659.08 a year). The guarantee is lower for those who retire early
or when there is a benefit for a survivor. The guarantee is increased for those
who retire after age 65.
^ Top
Governance
PBGC is headed by a Director who reports to a Board of Directors consisting
of the Secretaries of Labor, Commerce and Treasury, with the Secretary of Labor
as Chairman.
The Corporation is aided by a seven-member Advisory Committee appointed by
the President of the United States to represent the interests of labor, employers,
and the general public. ERISA outlines several specific responsibilities for
PBGC's Advisory Committee, including advising on policies and procedures for
PBGC's investments, the trusteeship of terminated plans, and on other matters
as determined by PBGC.
Also see:
• Board of Directors
• Director
• Office of Inspector General
• Executive Staff
• PBGC Departments
• Advisory Committee Members
^ Top
Board of Directors
PBGC operates under the guidance of its Board of Directors, which consists
of the Secretaries of Labor (Chair), Commerce and the Treasury.
• Secretary of Labor
• Secretary of Commerce
• Secretary of Treasury
^ Top
Our Customers
PBGC serves a range of customers with disparate interests and expectations.
First are the 1,161,000 people to whom the agency pays or owes pension
benefits. These participants in private-sector plans now administered
by PBGC depend on PBGC for their retirement security and expect quick,
accurate benefit
determinations
and prompt, uninterrupted benefit payments.
PBGC's customers also include the companies with PBGC-insured plans and the
pension professionals who assist them. These practitioners and plan administrators
expect
PBGC to promptly and accurately process their premium payments, dispense reliable
advice and rulings, and resolve issues affecting their plans quickly and responsively.
Practitioners include plan sponsors and pension professionals such as lawyers,
accountants, and actuarial consultants.
PBGC also serves a range of customers interested in retirement planning and
pension plans, such as:
• Congress
• Federal Agencies and State Government
• General Public
• Media
• PBGC Employees and Contractors
^ Top
