Accounting for pension buy-in arrangements

Start adding items to your reading lists:
Sign in
or
Create your account
Save this item to:
This item has been saved to your reading list.

March 2016

Overview

A pension buy-in arrangement is designed to generate payments that equal all future designated plan obligations for covered participants. Unlike a buy-out arrangement, in a buy-in, the plan trust holds the insurance contract and the employer remains ultimately liable for paying the benefits.

Buy-in contracts are becoming more popular to fund pension obligations. The accounting for buy-in contracts is different than the accounting for buy-out contracts. This Insight discusses the advantages, disadvantages, and accounting implications of buy-in arrangements.

Download Accounting for pension buy-in arrangements

Pension buy-ins provide a source of funds for future pension payments

Our insights. Your choices.

Subscribe to receive our tax insights.

Related content

1134246431

Upcoming and recent PwC tax webcasts

Register today to hear the latest insights from the world of tax.

Start adding items to your reading lists:
Sign in
or
Create your account
Save this item to:
This item has been saved to your reading list.
Geometric illustration

Tax insights from the PwC Pulse Survey

Keep your finger on the pulse of tax in the first 100 days. Bookmark this page for up-to-date tax analysis and insights.

Start adding items to your reading lists:
Sign in
or
Create your account
Save this item to:
This item has been saved to your reading list.

Contact us

Kelley McLaughlin

US Tax Marketing Leader, PwC US

Linkedin Follow Twitter Follow Email
Follow us
Audit and assurance Consulting Tax services Newsroom Alumni US offices Contact us

© 2017 - 2021 PwC. All rights reserved. PwC refers to the US member firm or one of its subsidiaries or affiliates, and may sometimes refer to the PwC network. Each member firm is a separate legal entity. Please see www.pwc.com/structure for further details.