Fast Facts

• This legislation was lifted late 2008 because of the economic turmoil in the United States. This pension legislation of 2008, which took the burden off of employers, does not pardon them from the financial obligation, but gives easier payment terms.
• Pension is funded by the state of the stock market. Since the U.S. economy has been in a recession, pensions are doing very poorly. However, pension legislation does not forbid employers from appropriating more funds to less risky investments such as bonds.
• Many companies are moving from pensions to 401K. The reason is that pensions are traditionally funded 100% from the employer. 401K plans have matching by both the employee and the employer.