Articles | June 5, 2024

Your Plan Has Received SFA. What Happens Now?

Receipt of Special Financial Assistance (SFA) from the PBGC under the American Rescue Plan Act has multiple implications beyond bolstering plan assets.

Plans must satisfy the requirements and conditions established by the PBGC’s final rule on SFA.

They must also follow additional SFA program guidance from the PBGC, for multiemployer plans that applied for SFA after August 8, 2022 (the effective date of the final rules).

We discussed the PBGC’s final rule in a July 7, 2022 insight, the PBGC's clarification of how SFA affects withdrawal liability in a December 21, 2023 insight and securing SFA assets in a webinar.

To help trustees of these plans, we’ve created an overview of what happens after the plans receive SFA.

Get the Overview

Your Plan Has Received SFA What Happens Now

What's covered

The overview covers these and other important topics:

Requirements and conditions for SFA and plan assets
Restrictions on benefit increases
Restrictions on contribution decreases and diversion
Withdrawal liability

Learn more about the implications of receiving SFA.

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This page is for informational purposes only and does not constitute legal, tax or investment advice. You are encouraged to discuss the issues raised here with your legal, tax and other advisors before determining how the issues apply to your specific situations.