TITLE

OVERFUNDED PENSION PLANS: ASSESSING YOUR ALTERNATIVES

AUTHOR(S)
Beresford, Dennis R.; Neary, Robert D.
PUB. DATE
May 1985
SOURCE
FE: The Magazine for Financial Executives;May1985, Vol. 1 Issue 5, p5
SOURCE TYPE
Trade Publication
DOC. TYPE
Article
ABSTRACT
The article presents an assessment of some alternatives, that can be considered in the event of overfunded pension plans of a company. Various funding strategies are possible, depending on an individual company's particular needs and business judgment. For example, many companies now follow a policy of funding only whatever minimum amount is required under ERISA, which might be zero in a given year. Other companies consider additional criteria, such as long-range funding targets established with the help of their actuaries. Still other companies, viewing the plan as a way to indefinitely defer taxable income, fund the maximum justifiable amount in light of alternative investments.
ACCESSION #
15095815

 

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