2027 PBGC premium and maximum guaranteed benefit figures 

October 21, 2026

The Pension Benefit Guaranty Corp. (PBGC) released its inflation-indexed 2027 premium amounts and maximum guaranteed benefit for single-employer pension plans.  Although PBGC has not yet released the present value of the maximum guarantee, Marsh has projected those figures.

On October 14, PBGC announced inflation-adjusted 2027 premium rates and the variable-rate premium cap.  With the exception of the variable rate premium, all premium amounts — including the per-participant variable-rate premium cap — are indexed annually for wage inflation.

*Not indexed after 2023

On October 20, PBGC announced that the maximum guaranteed benefit at age 65 for terminating plans will rise to $97,363.68 in 2027 from $93,477.24 in 2026. The maximum guaranteed benefit is adjusted if benefit payments start before (or after) age 65 or are paid in a form other than a single-life annuity. Some of the guaranteed amount may be paid from the plan’s assets, and participants may receive more if the plan is better funded or if PBGC can recover other amounts from the plan sponsor.

Every year, PBGC publishes a table with the present value of the maximum guarantee. These values are used to administer Internal Revenue Code (IRC) Section 436 restrictions on lump sums and other accelerated payments from underfunded plans. Plans at least 60% but less than 80% funded may only pay lump sums (or other accelerated distributions) up to the lesser of (i) 50% of the present value of the benefit otherwise payable or (ii) the present value of the participant's PBGC maximum guarantee. Plans subject to the restrictions must use the 2027 table for annuity starting dates in 2027, regardless of the plan year. PBGC has not yet published the table for 2027, but Marsh has projected the amounts.

The projected present values will decrease from 2026 levels at younger ages but will increase at ages 65 and older. The higher age-65 maximum guaranteed benefit and the update in the Section 417(e) mortality table will increase the projected present values by 4 – 4.5% across the board. Changes in interest rates (August 2026 IRC Section 417(e) lump sum segment rates of 4.65%, 5.75% and 6.73% vs. the August 2025 rates of 4.20%, 5.29% and 6.08%) will offset this increase, reducing projected present values significantly at younger ages (where the impact of the first segment rate is less) and to a much lesser extent at older ages.

The following table shows the projected present values for 2027 and the actual present values for 2026. Tables of present values dating back to 2008 are available on the PBGC website, along with downloadable Excel tables.

• Quick benefit facts and COLA resources for benefit plans (2022–2026)