Dana Muir on pension de-risking in Ross Thought in Action

February 3, 2016

Professor Dana Muir, writing in WSJ’s ‘The Experts’ blog, says employer moves to de-risk pension plans could put your benefit at greater risk.

This is the year many employers may “de-risk” their pension plans. But that actually could mean more risk for you, not less.

Michigan Ross Professor Dana Muir, writing in the Wall Street Journal’s “The Experts” blog, says the idea is to reduce risk to the employer, not the employee. Whether your company plans to offer vested employees a lump-sum, or buys annuities from a separate company, Muir outlines the questions you should be asking. Disclosure rules, she notes, are not as good as they should be so employees with a vested pension benefit need to be proactive if the company announces changes.

Reprinted from Ross Thought in Action