Misplaced Pages

Pension Protection Act of 2006

Article snapshot taken from Wikipedia with creative commons attribution-sharealike license. Give it a read and then ask your questions in the chat. We can research this topic together.

The Pension Protection Act of 2006 ( Pub. L.   109–280 (text) (PDF) ), 120 Stat. 780, was signed into law by U.S. President George W. Bush on August 17, 2006.

#343656

112-579: This legislation requires companies who have underfunded their pension plans to pay higher premiums to the Pension Benefit Guaranty Corporation (PBGC) and extends the requirement of providing extra funding to the pension systems of companies that terminate their pension plans. It also requires companies to analyze their pension plans' obligations more accurately, closes loopholes that previously allowed some companies to underfund their plans by skipping payments, and raises

224-635: A benefit for an employee upon that employee's retirement is a defined benefit plan. In the U.S., corporate defined benefit plans, along with many other types of defined benefit plans, are governed by the Employee Retirement Income Security Act of 1974 (ERISA). In the United Kingdom , benefits are typically indexed for inflation (known as Retail Prices Index (RPI)) as required by law for registered pension plans. Inflation during an employee's retirement affects

336-453: A defined contribution plan depends upon the account balance at the time an employee is looking to use the assets. So, for this arrangement, the contribution is known but the benefit is unknown (until calculated). Despite the fact that the participant in a defined contribution plan typically has control over investment decisions, the plan sponsor retains a significant degree of fiduciary responsibility over investment of plan assets, including

448-496: A defined-benefit social security system, but is more controversial when applied to high levels of professional income. Why should younger generations pay for executive pensions which they themselves are unsure of collecting?  Employers have sought ways of getting round this problem through pre-funding, but in civil-law countries have often been limited by the legal vehicles available. A suitable legal vehicle should ideally have three qualities. First, it should convince employees that

560-526: A faster pace. It is characterised by greater use of prepositions, and word order that is closer to modern Romance languages, for example, while grammatically retaining more or less the same formal rules as Classical Latin. Ultimately, Latin diverged into a distinct written form, where the commonly spoken form was perceived as a separate language, for instance early French or Italian dialects, that could be transcribed differently. It took some time for these to be viewed as wholly different from Latin however. After

672-743: A few in German , Dutch , Norwegian , Danish and Swedish . Latin is still spoken in Vatican City, a city-state situated in Rome that is the seat of the Catholic Church . The works of several hundred ancient authors who wrote in Latin have survived in whole or in part, in substantial works or in fragments to be analyzed in philology . They are in part the subject matter of the field of classics . Their works were published in manuscript form before

784-404: A few. Famous and well regarded writers included Petrarch, Erasmus, Salutati , Celtis , George Buchanan and Thomas More . Non fiction works were long produced in many subjects, including the sciences, law, philosophy, historiography and theology. Famous examples include Isaac Newton 's Principia . Latin was also used as a convenient medium for translations of important works first written in

896-452: A fund towards meeting the benefits. All plans must be funded in some way, even if they are pay-as-you-go, so this type of plan is more accurately known as pre-funded or fully-funded . The future returns on the investments, and the future benefits to be paid, are not known in advance, so there is no guarantee that a given level of contributions will be enough to meet the benefits. Typically, the contributions to be paid are regularly reviewed in

1008-560: A native language, Medieval Latin was used across Western and Catholic Europe during the Middle Ages as a working and literary language from the 9th century to the Renaissance , which then developed a classicizing form, called Renaissance Latin . This was the basis for Neo-Latin which evolved during the early modern period . In these periods Latin was used productively and generally taught to be written and spoken, at least until

1120-438: A new breed of collective risk sharing schemes where plan members pool their contributions and to a greater or less extent share the investment and longevity risk . There are multiple naming conventions for these plans reflecting the fact that the future payouts are a target or ambition of the plan sponsor rather than a guarantee, common naming conventions include: Defined contribution pensions, by definition, are funded, as

1232-407: A portion of the employee's contributions to be matched by the employer. In exchange, the funds in such plans may not be withdrawn by the investor prior to reaching a certain age—typically the year the employee reaches 59.5 years old (with a small number of exceptions)—without incurring a substantial penalty. Advocates of defined contribution plans point out that each employee has the ability to tailor

SECTION 10

#1732765362344

1344-567: A result, the list has variants, as well as alternative names. In addition to the historical phases, Ecclesiastical Latin refers to the styles used by the writers of the Roman Catholic Church from late antiquity onward, as well as by Protestant scholars. The earliest known form of Latin is Old Latin, also called Archaic or Early Latin, which was spoken from the Roman Kingdom , traditionally founded in 753 BC, through

1456-407: A separate language, existing more or less in parallel with the literary or educated Latin, but this is now widely dismissed. The term 'Vulgar Latin' remains difficult to define, referring both to informal speech at any time within the history of Latin, and the kind of informal Latin that had begun to move away from the written language significantly in the post-Imperial period, that led ultimately to

1568-455: A similar stream of payments. The common use of the term pension is to describe the payments a person receives upon retirement, usually under predetermined legal or contractual terms. A recipient of a retirement pension is known as a pensioner or retiree . A retirement plan is an arrangement to provide people with an income during retirement when they are no longer earning a steady income from employment. Often retirement plans require both

1680-709: A small number of Latin services held in the Anglican church. These include an annual service in Oxford, delivered with a Latin sermon; a relic from the period when Latin was the normal spoken language of the university. In the Western world, many organizations, governments and schools use Latin for their mottos due to its association with formality, tradition, and the roots of Western culture . Canada's motto A mari usque ad mare ("from sea to sea") and most provincial mottos are also in Latin. The Canadian Victoria Cross

1792-429: A sort of informal language academy dedicated to maintaining and perpetuating educated speech. Philological analysis of Archaic Latin works, such as those of Plautus , which contain fragments of everyday speech, gives evidence of an informal register of the language, Vulgar Latin (termed sermo vulgi , "the speech of the masses", by Cicero ). Some linguists, particularly in the nineteenth century, believed this to be

1904-472: A specific amount of income throughout their retirement years. However this income is not usually guaranteed to keep up with inflation, so its purchasing power may decline over the years. On the other hand, defined contribution plans are dependent upon the amount of money contributed and the performance of the investment vehicles used. Employees are responsible for ensuring that their contributions are sufficient to provide for their retirement needs, and they face

2016-572: A spoken and written language by the scholarship by the Renaissance humanists . Petrarch and others began to change their usage of Latin as they explored the texts of the Classical Latin world. Skills of textual criticism evolved to create much more accurate versions of extant texts through the fifteenth and sixteenth centuries, and some important texts were rediscovered. Comprehensive versions of authors' works were published by Isaac Casaubon , Joseph Scaliger and others. Nevertheless, despite

2128-432: A strictly left-to-right script. During the late republic and into the first years of the empire, from about 75 BC to AD 200, a new Classical Latin arose, a conscious creation of the orators, poets, historians and other literate men, who wrote the great works of classical literature , which were taught in grammar and rhetoric schools. Today's instructional grammars trace their roots to such schools , which served as

2240-574: A tax break depending on the country and plan type. For example, Canadians have the option to open a registered retirement savings plan (RRSP), as well as a range of employee and state pension programs. This plan allows contributions to this account to be marked as un-taxable income and remain un-taxed until withdrawal. Most countries' governments will provide advice on pension schemes. Social and state pensions depend largely upon legislation for their sustainability. Some have identified funds, but these hold essentially government bonds—a form of " IOU " by

2352-819: A tiered system. For a simplified example, suppose there are three employees that pay into a state pension system: Sam, Veronica, and Jessica. The state pension system has three tiers: Tier I, Tier II, and Tier III. These three tiers are based on the employee's hire date (i.e. Tier I covers 1 January 1980 (and before) to 1 January 1995, Tier II 2 January 1995 to 1 January 2010, and Tier III 1 January 2010 to present) and have different benefit provisions (e.g. Tier I employees can retire at age 50 with 80% benefits or wait until 55 with full benefits, Tier II employees can retire at age 55 with 80% benefits or wait until 60 for full benefits, Tier III employees can retire at age 65 with full benefits). Therefore, Sam, hired in June 1983, would be subject to

SECTION 20

#1732765362344

2464-409: A valuation of the plan's assets and liabilities, carried out by an actuary to ensure that the pension fund will meet future payment obligations. This means that in a defined benefit pension, investment risk and investment rewards are typically assumed by the sponsor/employer and not by the individual. If a plan is not well-funded, the plan sponsor may not have the financial resources to continue funding

2576-693: A vernacular, such as those of Descartes . Latin education underwent a process of reform to classicise written and spoken Latin. Schooling remained largely Latin medium until approximately 1700. Until the end of the 17th century, the majority of books and almost all diplomatic documents were written in Latin. Afterwards, most diplomatic documents were written in French (a Romance language ) and later native or other languages. Education methods gradually shifted towards written Latin, and eventually concentrating solely on reading skills. The decline of Latin education took several centuries and proceeded much more slowly than

2688-411: Is Veritas ("truth"). Veritas was the goddess of truth, a daughter of Saturn, and the mother of Virtue. Switzerland has adopted the country's Latin short name Helvetia on coins and stamps, since there is no room to use all of the nation's four official languages . For a similar reason, it adopted the international vehicle and internet code CH , which stands for Confoederatio Helvetica ,

2800-897: Is a classical language belonging to the Italic branch of the Indo-European languages . Latin was originally spoken by the Latins in Latium (now known as Lazio ), the lower Tiber area around Rome , Italy. Through the expansion of the Roman Republic it became the dominant language in the Italian Peninsula and subsequently throughout the Roman Empire . By the late Roman Republic , Old Latin had evolved into standardized Classical Latin . Vulgar Latin refers to

2912-668: Is a "contribution based" benefit, and depends on an individual's contribution history. For examples, see National Insurance in the UK, or Social Security in the United States of America. Many countries have also put in place a " social pension ". These are regular, tax-funded non-contributory cash transfers paid to older people. Over 80 countries have social pensions. Some are universal benefits, given to all older people regardless of income, assets or employment record. Examples of universal pensions include New Zealand Superannuation and

3024-401: Is a plan in which workers accrue pension rights during their time at a firm and upon retirement the firm pays them a benefit that is a function of that worker's tenure at the firm and of their earnings. In other words, a DB plan is a plan in which the benefit on retirement is determined by a set formula, rather than depending on investment returns. Government pensions such as Social Security in

3136-543: Is a proposed amendment that would make permanent an existing exemption from the Pension Protection Act of 2006 for a few small groups. Approximately 33 different plans would be affected. The bill's sponsors, such as Senator Pat Roberts , indicated that the exemption from the Pension Protection Act (PPA) that would be granted under this bill was needed because "the PPA was meant to protect employee pensions, but in

3248-640: Is a reversal of the original phrase Non terrae plus ultra ("No land further beyond", "No further!"). According to legend , this phrase was inscribed as a warning on the Pillars of Hercules , the rocks on both sides of the Strait of Gibraltar and the western end of the known, Mediterranean world. Charles adopted the motto following the discovery of the New World by Columbus, and it also has metaphorical suggestions of taking risks and striving for excellence. In

3360-415: Is a type of employment-based Pension in the UK. The 401(k) is the iconic self-funded retirement plan that many Americans rely on for much of their retirement income; these sometimes include money from an employer, but are usually mostly or entirely funded by the individual using an elaborate scheme where money from the employee's paycheck is withheld, at their direction, to be contributed by their employer to

3472-552: Is found in any widespread language, the languages of Spain, France, Portugal, and Italy have retained a remarkable unity in phonological forms and developments, bolstered by the stabilising influence of their common Christian (Roman Catholic) culture. It was not until the Muslim conquest of Spain in 711, cutting off communications between the major Romance regions, that the languages began to diverge seriously. The spoken Latin that would later become Romanian diverged somewhat more from

Pension Protection Act of 2006 - Misplaced Pages Continue

3584-516: Is legally no different from the portability of defined benefit plans. However, because of the cost of administration and ease of determining the plan sponsor's liability for defined contribution plans (you do not need to pay an actuary to calculate the lump sum equivalent that you do for defined benefit plans) in practice, defined contribution plans have become generally portable. In a defined contribution plan, investment risk and investment rewards are assumed by each individual/employee/retiree and not by

3696-689: Is modelled after the British Victoria Cross which has the inscription "For Valour". Because Canada is officially bilingual, the Canadian medal has replaced the English inscription with the Latin Pro Valore . Spain's motto Plus ultra , meaning "even further", or figuratively "Further!", is also Latin in origin. It is taken from the personal motto of Charles V , Holy Roman Emperor and King of Spain (as Charles I), and

3808-1011: Is taught at many high schools, especially in Europe and the Americas. It is most common in British public schools and grammar schools, the Italian liceo classico and liceo scientifico , the German Humanistisches Gymnasium and the Dutch gymnasium . Occasionally, some media outlets, targeting enthusiasts, broadcast in Latin. Notable examples include Radio Bremen in Germany, YLE radio in Finland (the Nuntii Latini broadcast from 1989 until it

3920-543: The Corpus Inscriptionum Latinarum (CIL). Authors and publishers vary, but the format is about the same: volumes detailing inscriptions with a critical apparatus stating the provenance and relevant information. The reading and interpretation of these inscriptions is the subject matter of the field of epigraphy . About 270,000 inscriptions are known. The Latin influence in English has been significant at all stages of its insular development. In

4032-583: The Holy See , the primary language of its public journal , the Acta Apostolicae Sedis , and the working language of the Roman Rota . Vatican City is also home to the world's only automatic teller machine that gives instructions in Latin. In the pontifical universities postgraduate courses of Canon law are taught in Latin, and papers are written in the same language. There are

4144-484: The Medal of Honor qualify for a separate stipend. Retirement pay for military members in the reserve and US National Guard is based on a point system. Many countries have created funds for their citizens and residents to provide income when they retire (or in some cases become disabled). Typically this requires payments throughout the citizen's working life in order to qualify for benefits later on. A basic state pension

4256-574: The Middle Ages , borrowing from Latin occurred from ecclesiastical usage established by Saint Augustine of Canterbury in the 6th century or indirectly after the Norman Conquest , through the Anglo-Norman language . From the 16th to the 18th centuries, English writers cobbled together huge numbers of new words from Latin and Greek words, dubbed " inkhorn terms ", as if they had spilled from a pot of ink. Many of these words were used once by

4368-576: The Roman Rite of the Catholic Church at the Vatican City . The church continues to adapt concepts from modern languages to Ecclesiastical Latin of the Latin language. Contemporary Latin is more often studied to be read rather than spoken or actively used. Latin has greatly influenced the English language , along with a large number of others, and historically contributed many words to

4480-569: The Romance languages . During the Classical period, informal language was rarely written, so philologists have been left with only individual words and phrases cited by classical authors, inscriptions such as Curse tablets and those found as graffiti . In the Late Latin period, language changes reflecting spoken (non-classical) norms tend to be found in greater quantities in texts. As it

4592-636: The Western Roman Empire fell in 476 and Germanic kingdoms took its place, the Germanic people adopted Latin as a language more suitable for legal and other, more formal uses. While the written form of Latin was increasingly standardized into a fixed form, the spoken forms began to diverge more greatly. Currently, the five most widely spoken Romance languages by number of native speakers are Spanish , Portuguese , French , Italian , and Romanian . Despite dialectal variation, which

Pension Protection Act of 2006 - Misplaced Pages Continue

4704-703: The cap on the amount employers are allowed to invest in their own plans. This will allow employers to deduct more money using the pension tax shield in times of high profits. It requires actuaries to use the equivalent of the projected accrued benefit cost method for determining annual normal cost. Other elements: The Pension Protection Act also reformed several types of tax-exempt charitable organizations including donor-advised funds , private foundations , and supporting organizations . The Pension Protection Act cracks down on supporting organizations, particularly Type III supporting organizations. The Act applies further regulations and penalties that takes away several of

4816-445: The "Bradley Commission") in 1955–56. Pensions may extend past the death of the veteran himself, continuing to be paid to the widow. In the U.S., retired military receive a military retirement pay , not called a "pension" as they can be recalled to active duty at any time. Military retirement pay is calculated on number of years on active duty, final pay grade and the retirement system in place when they entered service. Members awarded

4928-428: The "guarantee" made to employees is that specified (defined) contributions will be made during an individual's working life. There are many ways to finance a pension and save for retirement. Pension plans can be set up by an employer, matching a monetary contribution each month, by the state or personally through a pension scheme with a financial institution, such as a bank or brokerage firm. Pension plans often come with

5040-636: The Basic Retirement Pension of Mauritius . Most social pensions, though, are means-tested, such as Supplemental Security Income in the United States of America or the "older person's grant" in South Africa . Some pension plans will provide for members in the event they suffer a disability . This may take the form of early entry into a retirement plan for a disabled member below the normal retirement age. The benefits of defined benefit and defined contribution plans differ based on

5152-574: The British Crown. The motto is featured on all presently minted coinage and has been featured in most coinage throughout the nation's history. Several states of the United States have Latin mottos , such as: Many military organizations today have Latin mottos, such as: Some law governing bodies in the Philippines have Latin mottos, such as: Some colleges and universities have adopted Latin mottos, for example Harvard University 's motto

5264-613: The English lexicon , particularly after the Christianization of the Anglo-Saxons and the Norman Conquest . Latin and Ancient Greek roots are heavily used in English vocabulary in theology , the sciences , medicine , and law . A number of phases of the language have been recognized, each distinguished by subtle differences in vocabulary, usage, spelling, and syntax. There are no hard and fast rules of classification; different scholars emphasize different features. As

5376-599: The Grinch Stole Christmas! , The Cat in the Hat , and a book of fairy tales, " fabulae mirabiles ", are intended to garner popular interest in the language. Additional resources include phrasebooks and resources for rendering everyday phrases and concepts into Latin, such as Meissner's Latin Phrasebook . Some inscriptions have been published in an internationally agreed, monumental, multivolume series,

5488-1051: The IRA funds. An IRA account can only be passed on once, and it is not directly transferred into the beneficiary's account. Instead, a special IRA account with the heading " Deceased Name For the Benefit of Beneficiary Name " is made to keep the transfer. The Pension Benefit Guaranty Corporation (PBGC) is a federal corporation created under the Employee Retirement Income Security Act of 1974 . It currently guarantees payment of basic pension benefits earned by 44 million American workers and retirees participating in over 29,000 private-sector defined benefit pension plans. The agency receives no funds from general tax revenues. Operations are financed largely by insurance premiums paid by companies that sponsor pension plans and by investment returns. The 1985 case National Foundation, Inc . (now Waterstone ) v. United States,

5600-465: The Netherlands ($ 1.8T), Japan ($ 1.7T), Switzerland ($ 1.1T), Denmark ($ 0.8T), Sweden, Brazil and S. Korea (each $ 0.5T), Germany, France, Israel, P.R. China, Mexico, Italy, Chile, Belgium, Spain and Finland (each roughly $ 0.2T), etc. Without the vast body of common law to draw upon, statutory trusts tend to be more uniform and tightly regulated. However, pension assets alone are not a useful guide to

5712-530: The Secretary of Treasury to provide further exceptions to the 10% penalty on withdrawing from a retirement account before reaching proper retirement age. In particular, some penalty exceptions are narrowly defined to only covering IRA accounts, excluding 401(k) and other plans. The PPA provides a new mechanism for an IRA to be passed on to a non-spouse beneficiary. Transferring an IRA account this way can allow better control over when to withdraw (and pay taxes on)

SECTION 50

#1732765362344

5824-694: The Social Security Reserve Fund and France set up the Pensions Reserve Fund ; in Canada the wage-based retirement plan (CPP) is partially funded, with assets managed by the CPP Investment Board while the U.S. Social Security system is partially funded by investment in special U.S. Treasury Bonds. In a funded plan, contributions from the employer, and sometimes also from plan members, are invested in

5936-407: The U.S. since the 1990s. Cash balance plans, for example, provide a guaranteed benefit like a defined benefit plan, but the benefit is expressed as an account balance, like a defined contribution plan. Pension equity plans are a type of cash balance plan that credits employee accounts with a percentage of their pay each year, similar to a defined contribution plan. A Defined Benefit (DB) pension plan

6048-480: The US, defined contribution plans are subject to IRS limits on how much can be contributed, known as the section 415 limit. In 2009, the total deferral amount, including employee contribution plus employer contribution, was limited to $ 49,000 or 100% of compensation, whichever is less. The employee-only limit in 2009 was $ 16,500 with a $ 5,500 catch-up. These numbers usually increase each year and are indexed to compensate for

6160-425: The United States are a type of defined benefit pension plan. Traditionally, defined benefit plans for employers have been administered by institutions which exist specifically for that purpose, by large businesses, or, for government workers, by the government itself. A traditional form of defined benefit plan is the final salary plan, under which the pension paid is equal to the number of years worked, multiplied by

6272-505: The United States include individual retirement accounts (IRAs) and 401(k) plans . In such plans, the employee is responsible, to one degree or another, for selecting the types of investments toward which the funds in the retirement plan are allocated. This may range from choosing one of a small number of pre-determined mutual funds to selecting individual stocks or other financial assets. Most self-directed retirement plans are characterized by certain tax advantages , and some provide for

6384-474: The United States of America and Canada now face chronic pension crises. A defined contribution (DC) plan, is a pension plan where employers set aside a certain proportion (i.e. contributions) of a worker's earnings (such as 5%) in an investment account, and the worker receives this savings and any accumulated investment earnings upon retirement. These contributions are paid into an individual account for each member. The contributions are invested, for example in

6496-467: The United States the unofficial national motto until 1956 was E pluribus unum meaning "Out of many, one". The motto continues to be featured on the Great Seal . It also appears on the flags and seals of both houses of congress and the flags of the states of Michigan, North Dakota, New York, and Wisconsin. The motto's 13 letters symbolically represent the original Thirteen Colonies which revolted from

6608-563: The University of Kentucky, the University of Oxford and also Princeton University. There are many websites and forums maintained in Latin by enthusiasts. The Latin Misplaced Pages has more than 130,000 articles. Italian , French , Portuguese , Spanish , Romanian , Catalan , Romansh , Sardinian and other Romance languages are direct descendants of Latin. There are also many Latin borrowings in English and Albanian , as well as

6720-509: The assets are truly secured for their benefit. Second, contributions to the vehicle should be tax-deductible to the employer (or at least, a tax deduction should be secured already). And third, to the extent that it has funded the pension liability, the employer should be able to reduce the liability shown on its balance sheet. In the absence of appropriate statute, attempts have been made to invent suitable vehicles with varying degrees of success. The most notable has been in Germany where, until

6832-508: The attainment of normal retirement age (usually age 65). Companies would rather hire younger employees at lower wages. Some of those provisions come in the form of additional temporary or supplemental benefits , which are payable to a certain age, usually before attaining normal retirement age. Due to changes in pensions over the years, many pension systems, including those in Alabama , California , Indiana , and New York , have shifted to

SECTION 60

#1732765362344

6944-507: The average retirement age and lifespan of the employees, the returns to be earned by the pension plan's investments and any additional taxes or levies, such as those required by the Pension Benefit Guaranty Corporation in the U.S. So, for this arrangement, the benefit is relatively secure but the contribution is uncertain even when estimated by a professional. This has serious cost considerations and risks for

7056-425: The benefit of those who do not understand Latin. There are also songs written with Latin lyrics . The libretto for the opera-oratorio Oedipus rex by Igor Stravinsky is in Latin. Parts of Carl Orff 's Carmina Burana are written in Latin. Enya has recorded several tracks with Latin lyrics. The continued instruction of Latin is seen by some as a highly valuable component of a liberal arts education. Latin

7168-483: The best interests of the beneficiaries. These jurisdictions account for over 80% of assets held by private pension plans around the world. Of the $ 50.7 trillion of global assets in 2019, $ 32.2T were in U.S. plans, the next largest being the U.K. ($ 3.2T), Canada ($ 2.8T), Australia ($ 1.9T), Singapore ($ 0.3T), Hong Kong and Ireland (each roughly $ 0.2T), New Zealand, India, Kenya, Nigeria, Jamaica, etc. Civil-law jurisdictions with statutory trust vehicles for pensions include

7280-409: The careful work of Petrarch, Politian and others, first the demand for manuscripts, and then the rush to bring works into print, led to the circulation of inaccurate copies for several centuries following. Neo-Latin literature was extensive and prolific, but less well known or understood today. Works covered poetry, prose stories and early novels, occasional pieces and collections of letters, to name

7392-561: The case of rural cooperatives and charities, it jeopardizes plans for employees." Senator Harkin criticized the PPA for forcing charity organizations to divert funds away from the services they provide. S. 1302 passed the Senate on January 28, 2014. Pension A pension ( / ˈ p ɛ n ʃ ən / ; from Latin pensiō  'payment') is a fund into which amounts are paid regularly during an individual's working career, and from which periodic payments are made to support

7504-415: The classicised Latin that followed through to the present are often grouped together as Neo-Latin , or New Latin, which have in recent decades become a focus of renewed study , given their importance for the development of European culture, religion and science. The vast majority of written Latin belongs to this period, but its full extent is unknown. The Renaissance reinforced the position of Latin as

7616-465: The country's full Latin name. Some film and television in ancient settings, such as Sebastiane , The Passion of the Christ and Barbarians (2020 TV series) , have been made with dialogue in Latin. Occasionally, Latin dialogue is used because of its association with religion or philosophy, in such film/television series as The Exorcist and Lost (" Jughead "). Subtitles are usually shown for

7728-503: The decline in written Latin output. Despite having no native speakers, Latin is still used for a variety of purposes in the contemporary world. The largest organisation that retains Latin in official and quasi-official contexts is the Catholic Church . The Catholic Church required that Mass be carried out in Latin until the Second Vatican Council of 1962–1965 , which permitted the use of the vernacular . Latin remains

7840-441: The degree of financial security provided to the retiree. With defined benefit plans, retirees receive a guaranteed payout at retirement, determined by a fixed formula based on factors such as salary and years of service. The risk and responsibility of ensuring sufficient funding through retirement is borne by the employer or plan managers. This type of plan provides a level of financial security for retirees, ensuring they will receive

7952-589: The educated and official world, Latin continued without its natural spoken base. Moreover, this Latin spread into lands that had never spoken Latin, such as the Germanic and Slavic nations. It became useful for international communication between the member states of the Holy Roman Empire and its allies. Without the institutions of the Roman Empire that had supported its uniformity, Medieval Latin

8064-674: The effects of inflation. For 2015, the limits were raised to $ 53,000 and $ 18,000, respectively. Examples of defined contribution pension schemes in other countries are, the UK's personal pensions and proposed National Employment Savings Trust (NEST), Germany's Riester plans, Australia's Superannuation system and New Zealand's KiwiSaver scheme. Individual pension savings plans also exist in Austria, Czech Republic, Denmark, Greece, Finland, Ireland, Netherlands, Slovenia and Spain Many developed economies are moving beyond DB & DC Plans and are adopting

8176-517: The employee's plan. This money can be tax-deferred or not, depending on the exact nature of the plan. Some countries also grant pensions to military veterans. Military pensions are overseen by the government; an example of a standing agency is the United States Department of Veterans Affairs . Ad hoc committees may also be formed to investigate specific tasks, such as the U.S. Commission on Veterans' Pensions (commonly known as

8288-440: The employer and employee to contribute money to a fund during their employment in order to receive defined benefits upon retirement. It is a tax deferred savings vehicle that allows for the tax-free accumulation of a fund for later use as retirement income. Funding can be provided in other ways, such as from labor unions, government agencies, or self-funded schemes. Pension plans are therefore a form of "deferred compensation". A SSAS

8400-494: The employer is the reason given by many employers for switching from defined benefit to defined contribution plans over recent years. The risks to the employer can sometimes be mitigated by discretionary elements in the benefit structure, for instance in the rate of increase granted on accrued pensions, both before and after retirement. The age bias, reduced portability and open ended risk make defined benefit plans better suited to large employers with less mobile workforces, such as

8512-559: The employer offering a pension plan. One of the growing concerns with defined benefit plans is that the level of future obligations will outpace the value of assets held by the plan ( Unfunded mandate ). This "underfunding" dilemma can be faced by any type of defined benefit plan, private or public, but it is most acute in governmental and other public plans where political pressures and less rigorous accounting standards can result in excessive commitments to employees and retirees, but inadequate contributions. Many states and municipalities across

8624-404: The employer tends to pay higher contributions than under defined contribution plans), so such criticism is rarely harsh. The "cost" of a defined benefit plan is not easily calculated, and requires an actuary or actuarial software. However, even with the best of tools, the cost of a defined benefit plan will always be an estimate based on economic and financial assumptions. These assumptions include

8736-438: The end of the 20th century, most occupational pensions were unfunded ("book-reserved") promises by employers. Changes started in 1983. Most national pension systems are based on multi-pillar schemes to ensure greater flexibility and financial security to the old in contrast to reliance on one single system. In general, there are three main functions of pension systems: saving, redistribution and insurance functions. According to

8848-415: The exclusion from the figure shown on the 1099-R form , and placing the smaller figure on the pension income line on the 1040. The text literal "PSO" must be written on the dotted line to the left of the figure. IRS Pub 575 has more details. Public safety officers include police, firefighters, emergency medical technicians, and many types of federal and state employees dealing with criminals. The PPA tells

8960-643: The form of a guaranteed life annuity , thus insuring against the risk of longevity . A pension created by an employer for the benefit of an employee is commonly referred to as an occupational or employer pension. Labor unions , the government, or other organizations may also fund pensions. Occupational pensions are a form of deferred compensation , usually advantageous to employee and employer for tax reasons. Many pensions also contain an additional insurance aspect, since they often will pay benefits to survivors or disabled beneficiaries. Other vehicles (certain lottery payouts, for example, or an annuity ) may provide

9072-572: The individual; the terminology varies between countries. Retirement plans may be set up by employers, insurance companies, the government, or other institutions such as employer associations or trade unions. Called retirement plans in the United States , they are commonly known as pension schemes in the United Kingdom and Ireland and superannuation plans (or super ) in Australia and New Zealand . Retirement pensions are typically in

9184-703: The invention of printing and are now published in carefully annotated printed editions, such as the Loeb Classical Library , published by Harvard University Press , or the Oxford Classical Texts , published by Oxford University Press . Latin translations of modern literature such as: The Hobbit , Treasure Island , Robinson Crusoe , Paddington Bear , Winnie the Pooh , The Adventures of Tintin , Asterix , Harry Potter , Le Petit Prince , Max and Moritz , How

9296-400: The investment portfolio to his or her individual needs and financial situation, including the choice of how much to contribute, if anything at all. However, others state that these apparent advantages could also hinder some workers who might not possess the financial savvy to choose the correct investment vehicles or have the discipline to voluntarily contribute money to retirement accounts. In

9408-704: The language of the Roman Rite . The Tridentine Mass (also known as the Extraordinary Form or Traditional Latin Mass) is celebrated in Latin. Although the Mass of Paul VI (also known as the Ordinary Form or the Novus Ordo) is usually celebrated in the local vernacular language, it can be and often is said in Latin, in part or in whole, especially at multilingual gatherings. It is the official language of

9520-440: The large areas where it had come to be natively spoken. However, even after the fall of Western Rome , Latin remained the common language of international communication , science, scholarship and academia in Europe until well into the early 19th century, by which time modern languages had supplanted it in common academic and political usage. Late Latin is the literary language from the 3rd century AD onward. No longer spoken as

9632-467: The late seventeenth century, when spoken skills began to erode. It then became increasingly taught only to be read. Latin grammar is highly fusional , with classes of inflections for case , number , person , gender , tense , mood , voice , and aspect . The Latin alphabet is directly derived from the Etruscan and Greek alphabets . Latin remains the official language of the Holy See and

9744-431: The later part of the Roman Republic , up to 75 BC, i.e. before the age of Classical Latin . It is attested both in inscriptions and in some of the earliest extant Latin literary works, such as the comedies of Plautus and Terence . The Latin alphabet was devised from the Etruscan alphabet . The writing later changed from what was initially either a right-to-left or a boustrophedon script to what ultimately became

9856-421: The less prestigious colloquial registers , attested in inscriptions and some literary works such as those of the comic playwrights Plautus and Terence and the author Petronius . While often called a "dead language" , Latin did not undergo language death . By the 6th to 9th centuries, natural language change eventually resulted in Latin as a vernacular language evolving into distinct Romance languages in

9968-450: The member's salary at retirement, multiplied by a factor known as the accrual rate . The final accrued amount is available as a monthly pension or a lump sum, but usually monthly. In the US, 26 U.S.C.   § 414(j) specifies a defined benefit plan to be any pension plan that is not a defined contribution plan (see below) where a defined contribution plan is any plan with individual accounts. A traditional pension plan that defines

10080-466: The other varieties, as it was largely separated from the unifying influences in the western part of the Empire. Spoken Latin began to diverge into distinct languages by the 9th century at the latest, when the earliest extant Romance writings begin to appear. They were, throughout the period, confined to everyday speech, as Medieval Latin was used for writing. For many Italians using Latin, though, there

10192-431: The pension for older employees than for younger ones (an "age bias"). Defined benefit pensions tend to be less portable than defined contribution plans, even if the plan allows a lump sum cash benefit at termination. Most plans, however, pay their benefits as an annuity, so retirees do not bear the risk of low investment returns on contributions or of outliving their retirement income. The open-ended nature of these risks to

10304-449: The pension plan allows for early retirement, payments are often reduced to recognize that the retirees will receive the payouts for longer periods of time. In the United States, under the Employee Retirement Income Security Act of 1974 , any reduction factor less than or equal to the actuarial early retirement reduction factor is acceptable. Many DB plans include early retirement provisions to encourage employees to retire early, before

10416-408: The person's retirement from work. A pension may be: Pensions should not be confused with severance pay ; the former is usually paid in regular amounts for life after retirement, while the latter is typically paid as a fixed amount after involuntary termination of employment before retirement. The terms " retirement plan " and " superannuation " tend to refer to a pension granted upon retirement of

10528-410: The plan. Traditional defined benefit plan designs (because of their typically flat accrual rate and the decreasing time for interest discounting as people get closer to retirement age) tend to exhibit a J-shaped accrual pattern of benefits, where the present value of benefits grows quite slowly early in an employee's career and accelerates significantly in mid-career: in other words it costs more to fund

10640-445: The private sector in many countries. For example, the number of defined benefit plans in the U.S. has been steadily declining, as more and more employers see pension contributions as a large expense avoidable by disbanding the defined benefit plan and instead offering a defined contribution plan. Money contributed can either be from employee salary deferral or from employer contributions. The portability of defined contribution pensions

10752-433: The privileges that supporting organizations have over private foundations, such as applying private foundation law of excess benefit transactions, excess business holding rules, and pay out requirements . One tax benefit allowed under the pension protection act is that qualified retired "Public Safety Officers" may exclude from income the cost of health insurance. The exclusion is shown on the tax return as simply subtracting

10864-598: The provisions of the Tier I scheme, whereas Veronica, hired in August 1995, would be permitted to retire at age 60 with full benefits and Jessica, hired in December 2014, would not be able to retire with full benefits until she became 65. In an unfunded defined benefit pension, no assets are set aside and the benefits are paid for by the employer or other pension sponsor as and when they are paid. Pension arrangements provided by

10976-569: The public sector (which has open-ended support from taxpayers). This coupled with a lack of foresight on the employers part means a large proportion of the workforce are kept in the dark over future investment schemes. Defined benefit plans are sometimes criticized as being paternalistic as they enable employers or plan trustees to make decisions about the type of benefits and family structures and lifestyles of their employees. However they are typically more valuable than defined contribution plans in most circumstances and for most employees (mainly because

11088-399: The purchasing power of the pension; the higher the inflation rate, the lower the purchasing power of a fixed annual pension. This effect can be mitigated by providing annual increases to the pension at the rate of inflation (usually capped, for instance at 5% in any given year). This method is advantageous for the employee since it stabilizes the purchasing power of pensions to some extent. If

11200-584: The report by the World Bank titled "Averting the Old Age Crisis", countries should consider separating the saving and redistributive functions, when creating pension systems, and placing them under different financing and managerial arrangements into three main pillars. The Pillars of Old Age Income Security: Latin language Latin ( lingua Latina , pronounced [ˈlɪŋɡʷa ɫaˈtiːna] , or Latinum [ɫaˈtiːnʊ̃] )

11312-404: The risk of market fluctuations that could reduce their retirement savings. However, defined contribution plans provide more flexibility for employees, who can choose how much to contribute and how to invest their funds. Hybrid plans, such as cash balance and pension equity plans, combine features of both defined benefit and defined contribution plans. These plans have become increasingly popular in

11424-439: The selection of investment options and administrative providers. In the United States, the legal definition of a defined contribution plan is a plan providing for an individual account for each participant, and for benefits based solely on the amount contributed to the account, plus or minus income, gains, expenses and losses allocated to the account (see 26 U.S.C.   § 414(i) ). Examples of defined contribution plans in

11536-473: The sponsor/employer, and these risks may be substantial. In addition, participants do not necessarily purchase annuities with their savings upon retirement, and bear the risk of outliving their assets. (In the United Kingdom, for instance, it is a legal requirement to use the bulk of the fund to purchase an annuity.) The "cost" of a defined contribution plan is readily calculated, but the benefit from

11648-443: The state in most countries in the world are unfunded, with benefits paid directly from current workers' contributions and taxes. This method of financing is known as pay-as-you-go , or PAYGO . The social security systems of many European countries are unfunded, having benefits paid directly out of current taxes and social security contributions, although several countries have hybrid systems which are partially funded. Spain set up

11760-402: The state which may rank no higher than the state's promise to pay future pensions. Occupational pensions are typically provided through employment agreements between workers and employers, and their financing structure must meet legislative requirements. In common-law jurisdictions, the law requires that pensions be pre-funded in trusts, with a range of requirements to ensure the trustees act in

11872-415: The stock market, and the returns on the investment (which may be positive or negative) are credited to the individual's account. On retirement, the member's account is used to provide retirement benefits, sometimes through the purchase of an annuity which then provides a regular income. Defined contribution plans have become widespread all over the world in recent years, and are now the dominant form of plan in

11984-558: The total distribution of occupational pensions around the world. It will be noted that four of the largest economies (Germany, France, Italy and Spain) have very little in the way of pension assets. Nevertheless, in terms of typical net income replacement in retirement, these countries rank well relative to those with pension assets. These and other countries represent a fundamentally different approach to pension provision, often referred to as "intergenerational solidarity". Intergenerational solidarity operates to an extent in any country with

12096-413: Was free to develop on its own, there is no reason to suppose that the speech was uniform either diachronically or geographically. On the contrary, Romanised European populations developed their own dialects of the language, which eventually led to the differentiation of Romance languages . Late Latin is a kind of written Latin used in the 3rd to 6th centuries. This began to diverge from Classical forms at

12208-553: Was instrumental in defining the standards used for Donor Advised Funds. Some of the standards that were included in the 2006 act include: On December 23, 2008, P.L. 110-458 (H.R. 7327), the Worker, Retiree, and Employer Recovery Act of 2008 , was signed into law by the President. The Act makes technical corrections related to the PPA of 2006. The Cooperative and Small Employer Charity Pension Flexibility Act (S. 1302; 113th Congress)

12320-496: Was much more liberal in its linguistic cohesion: for example, in classical Latin sum and eram are used as auxiliary verbs in the perfect and pluperfect passive, which are compound tenses. Medieval Latin might use fui and fueram instead. Furthermore, the meanings of many words were changed and new words were introduced, often under influence from the vernacular. Identifiable individual styles of classically incorrect Latin prevail. Renaissance Latin, 1300 to 1500, and

12432-441: Was no complete separation between Italian and Latin, even into the beginning of the Renaissance . Petrarch for example saw Latin as a literary version of the spoken language. Medieval Latin is the written Latin in use during that portion of the post-classical period when no corresponding Latin vernacular existed, that is from around 700 to 1500 AD. The spoken language had developed into the various Romance languages; however, in

12544-431: Was shut down in June 2019), and Vatican Radio & Television, all of which broadcast news segments and other material in Latin. A variety of organisations, as well as informal Latin 'circuli' ('circles'), have been founded in more recent times to support the use of spoken Latin. Moreover, a number of university classics departments have begun incorporating communicative pedagogies in their Latin courses. These include

#343656