[Code of Federal Regulations]
[Title 29, Volume 9]
[Revised as of July 1, 2005]
From the U.S. Government Printing Office via GPO Access
[CITE: 29CFR4245.2]

[Page 958]
 
                             TITLE 29--LABOR
 
            CHAPTER XL--PENSION BENEFIT GUARANTY CORPORATION
 
PART 4245_NOTICE OF INSOLVENCY--Table of Contents
 
Sec. 4245.2  Definitions.

    The following terms are defined in Sec. 4001.2 of this chapter: 
employer, ERISA, IRS, multiemployer plan, nonforfeitable benefit, PBGC, 
person, plan, and plan year.
    In addition, for purposes of this part:
    Actuarial valuation means a report submitted to the plan in 
connection with a valuation of plan assets and liabilities, which, in 
the case of a plan covered by subparts C and D of part 4281, shall be 
performed in accordance with subpart B of part 4281.
    Available resources means, for a plan year, available resources as 
described in section 4245(b)(3) of ERISA.
    Benefits subject to reduction means those benefits accrued under 
plan amendments (or plans) adopted after March 26, 1980, or under 
collective bargaining agreements entered into after March 26, 1980, that 
are not eligible for the PBGC's guarantee under section 4022A(b) of 
ERISA.
    Financial assistance means financial assistance from the PBGC under 
section 4261 of ERISA.
    Insolvency benefit level means the greater of the resource benefit 
level or the benefit level guaranteed by the PBGC for each participant 
and beneficiary in pay status.
    Insolvency year means insolvency year as described in section 
4245(b)(4) of ERISA.
    Insolvent means that a plan is unable to pay benefits when due 
during the plan year. A plan terminated by mass withdrawal is not 
insolvent unless it has been amended to eliminate all benefits that are 
subject to reduction under section 4281(c) of ERISA, or, in the absence 
of an amendment, no benefits under the plan are subject to reduction 
under section 4281(c) of ERISA.
    Reasonably expected to enter pay status means, with respect to plan 
participants and beneficiaries, persons (other than those in pay status) 
who, according to plan records, are disabled, have applied for benefits, 
or have reached or will reach during the applicable period the normal 
retirement age under the plan, and any others whom it is reasonable for 
the plan sponsor to expect to enter pay status during the applicable 
period.
    Reorganization means reorganization under section 4241(a) of ERISA.
    Resource benefit level means resource benefit level as described in 
section 4245(b)(2) of ERISA.