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Understanding the Pension Benefit Guaranty Corporation

Understanding the Pension Benefit Guaranty Corporation What is the Pension Benefit Guaranty Corporation (PBGC)?
The Pension Benefit Guaranty Corporation is an Independent Federal Agency responsible for the regulation and oversight of pension benefits entitled to employees in the United States of America. The instrument of a pension plan within the United States allow for a system allowing individuals to be eligible to engage in the receipt of allotted funds or investments set aside during the time of employment; subsequent to retirement, the PBGC will assist the individual in the collection and management of this monetary disbursement in accordance to legal regulations:

Pension Plan Management

The PBGC undertakes management of the following types of pension plans:

A defined-benefit pension plan is a type of pension plan awarded to a retiree that exists outside of the performance of a communal investment of a specific pension fund

A defined-contribution fund is a type of pension plan that allows for increased  - or decreased - monetary reward at the time of retirement in conjunction of the performance of an investment undertaken with regard to a specific and communal pension fund

PBGC Quick Facts

Independent Federal Agencies are typically without a single director or executive; in contrast, independent government agencies – such as the PBGC - are overseen by an executive directorial board; due to this fact, the Executive Branch retains less managerial oversight of the PBGC than its agency counterparts.

Although the President of the United States retains administrative jurisdiction over the PBGC, the presence of a committee of directors allows for a decreased executive authority over hiring, staffing, and administration. 

The following details outline the structuring of the PBGC:

The PBGC was founded on September 2nd, 1974 as a result of the passing of the Employee Retirement Income Security Act of 1974, which instituted regulatory reform regarding the legal requirements of pensions offered to State and Federal employees

The headquarters of the PBGC are located in

The PBGC is administered by Joshua Gotbaum – it is not uncommon for independent government agencies to include terms such as ‘Corporation’ in their respective title due to a group management structure in lieu of a single director

Independent Government Agencies

In contrast to non-independent government agencies, whose overseeing bodies may range from the Department of Defense to the Department of State, independent government agencies, such as the PBGC are not required to report to such a department. However, while non-independent government agencies are classified as existing under the jurisdiction of the Executive, Legislative, and Judicial branches, the PBGC – as well as the bulk of independent government agencies – are under varying degrees of the Executive branch’s jurisdiction.

PBGC: Legal Information and Further Assistance

The operation and administration of the PBGC resides under the jurisdiction of the legal field classified as Administrative Law; this genre of law is primarily associated with events and circumstances in which the Federal Government of the United States engages its citizens, including the administration of government programs, the administration and operation of government agencies, and the establishment of a legal, regulatory federal standard – you can find both the primary address and telephones number of the PBGC below:

Pension Benefit Guaranty Corporation

1200 K Street, N.W., Suite 11101

Washington, D.C. 20005

(202) 326-4040

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