The taxpayer must begin to collect benefits by
age seventy, by which point he or she can have increased the benefit level substantially.
While mature workers have their own benefits needs, regulations prohibit organizations from segmenting benefits by
age, and companies aren't able to gear benefit packages specifically for older workers.
12, Disclosure of Information on Postemployment Benefits Other Than Pension Benefits by
State and Local Governmental Employers; paragraphs 12 and 44 of GASB Statement No.
31, 1991, P's recalculated benefits are excludible from gross income depends on whether the Plan determines P's benefits by
reference to his length of service.
To provide cost-neutral or unsubsidized early retirement benefits at age 55, the company would have had to reduce those benefits by
as much as 60 percent of the age-65 benefit.
Thus, the regulations would preclude General Signal from pre-funding expected 1987 health and short-term disability benefits by
the end of 1986.
Accounting for retiree benefits by
reporting only the current year's costs hides the fact that the employer has a continuing financial obligation.
But beyond committing the company to do its part in providing its retirees with medical benefits, we also felt it behooved us--and it makes good sense from a corporate finance standpoint--to enhance the security of those benefits by
From a societal perspective, STETS' costs outweigh benefits by
nearly 20 percent, producing a net societal benefit of -$1,039 and a benefit-cost ratio substantially less than 1.0.
Because of its flexibility and low cost, BTA is very attractive to employers, given the high value placed on the benefits by
An immediate infusion of $3.54 trillion, increasing the payroll tax rate from its current level of 12.4% to 14.3% or reducing current scheduled benefits by
12.6% could prevent the projected deficit.
1.412(c)(3)-1(f) allows qualified pension plans to fund ancillary benefits, such as preretirement death benefits, and allows taxpayers to compute deductions for such benefits by
using either (1) the same method used to compute retirement benefit costs or (2) the premium paid under an insurance contract.
Employers can help employees take advantage of these benefits by
offering electronic filing as an employee benefit.
The FASB would require most companies to switch to accrual accounting for retiree health care and other postretirement benefits by
1992 and would require a "minimum" liability to be recorded on the balance sheet by 1997.
In many cases, the substance of a plan includes a policy of reacting to changes in the cost of benefits by
changing, for instance, a plan's cost-sharing provisions.