Defined benefit plan

The Internal Revenue Service has issued Revenue Ruling 2025-14 which contains the applicable federal rates (AFR) for August 2025.

The Internal Revenue Service has issued Notice 2025-39, which contains updated guidance on factors used in certain defined benefit (DB) pension plan minimum funding and present value calculations. 

The Internal Revenue Service has released Notice 2025-40, updating the static mortality tables for defined benefit plans for 2026. 

The Department of Labor (DOL) filed an amicus (friend of the court) brief in a case (Hutchins v. HP Inc.) that claimed the employer breached its fiduciary duty to the plan by electing to use forfeitures to fund mandatory employer contributions rather than offset administrative expenses borne by participants. 

Senator Bill Cassidy (R-LA) has introduced S. 2217, the Independent Retirement Fairness Act.

The IRS has announced the postponement of certain tax-related deadlines for victims of severe storms, straight-line winds, and flooding in Texas until February 2, 2026.

The Internal Revenue Service (IRS) has posted an updated draft 2025 Instructions for Form 5329, Additional Taxes on Qualified Plans (Including IRAs) and Other Tax-Favored Accounts, following last month’s release of the draft 2025 Form 5329.

The Federal Emergency Management Agency (FEMA) issued a Major Disaster Declaration on July 6, 2025, for Texas severe storms, straight-line winds, and flooding, for the incident period of July 2, 2025, and continuing.

The IRS has posted 2025 tax year draft Form 4972, Tax on Lump-Sum Distributions (From Qualified Plans of Participants Born Before January 2, 1936). 

The Pension Benefit Guarantee Corporation (PBGC) has issued a final rule updating interest assumptions under the asset allocation regulation for plans with valuation dates in the third quarter of 2025.