PBGC premium rates for 2025 show both increases and stability

The Pension Benefit Guaranty Corporation (PBGC) has released premium rates effective for plan years beginning in 2025.

The PBGC is required to update premium rates in accordance with the indexation rules set forth in Section 4006 of ERISA.

Premium tariffs 2025

The participant rate for flat-rate bonuses, the participant cap and the participant rate for increased flat-rate bonuses increase for 2025; The premium rate per $1,000 of unfunded vested benefits (UVBs) does not apply.

The increases for 2025 are comparable to or slightly lower than those set by the PBGC for 2024 compared to 2023. And the 2024-2025 increases are generally well below the 2022-2023 rate increases.

In all years, the per-participant rate for flat premiums for single-employer plans and the variable per-participant cap for single-employer plans experienced the largest increases.

The per-participant rate for the flat premium for multiemployer plans increased by much smaller amounts, and the rate per $1,000 of UVBs for single-employer plans remained the most stable.

Indexing

For 2019 and prior years, PBGC premium rates and variable premiums (VRPs) were not indexed; From 2020 to 2023, all premium rates and the VRP cap were subject to indexation. As of 2024, the indexation of the VRP rate has been discontinued; However, all other premium rates and the VRP cap remain indexed.

The PBGC data tables

The PBGC Annuity Data Tables contain a complete history of premium rates. The data tables come from three primary data sources: Form 5500 Filings, PBGC Premium Filings, and PBGC Operating Data.

Data tables for 1996-2022 and supplementary reports for 1998-2024 – containing statistics on single and multiple employer programs and the private pension system – are available here.

Learn more

PBGC premium rates from 2007 to 2024 can be found here.