NU Online News Service, Aug. 14, 2003, 12:22 p.m. EDT – The American Benefits Council, Washington, has posted a chart by lawyers at Davis & Harman L.L.P., Washington, that compares current law with four major proposals for replacing the 30-year Treasury bond rate in pension calculations.
The proposals include two proposals from the House, a Senate proposal, and a Bush administration proposal that would require employers to use a yield curve.
Employers and their benefits advisors are pushing Congress to replace the 30-year Treasury bond rate as a pension benchmark as quickly as possible.
Because the United States has stopped issuing new 30-year bonds, the remaining 30-year bonds are popular and overall interest rates are very low, 30-year Treasury rates are now extremely low.