2026-06556RuleWallet

Pensions Tweak Interest Rates: More Math for Retirees

Published Date: 4/3/2026

Rule

Summary

Starting April 30, 2026, the Pension Benefit Guaranty Corporation (PBGC) updates how it calculates interest rates for valuing benefits in single-employer pension plans that are ending. This change affects plan sponsors and employers by adjusting the numbers used to figure out what’s owed, helping keep things fair and accurate. If you’re involved with these plans, watch for these new rules between April and July 2026—they could impact money calculations and deadlines.

Analyzed Economic Effects

2 provisions identified: 0 benefits, 0 costs, 2 mixed.

New Interest Spreads for Terminating Plans

Starting April 30, 2026, PBGC sets specific ‘‘spreads’’ used to build the 4044 yield curve for valuing benefits in terminating single-employer pension plans with valuation dates of April 30, 2026 through July 30, 2026. These spreads are published in a table (the second quarter 2026 spreads) and are used to determine the present value of annuities in involuntary or distress terminations.

Spreads Apply Across PBGC Valuation Uses

PBGC's prescribed spreads for the second quarter of 2026 will be used not only for valuations in single-employer terminations but also for other regulatory purposes—such as determining withdrawal liability under PBGC rules (parts 4219 and 4281), as a condition for multiemployer plans receiving special financial assistance (part 4262), annual reporting (part 4010), and transfers to the Missing Participants Program (part 4050).

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Key Dates

Published Date
Rule Effective
4/3/2026
4/30/2026

Department and Agencies

Department
Independent Agency
Agency
Pension Benefit Guaranty Corporation
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