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Diane Publishing Books
Pension Costs on DOD Contracts: Additional Guidance Needed to Ensure Costs Are Consistent and Reasonable
Cristina T. Chaplain (au); Charles A. Jeszeck (au)
Dept. of Defense (DOD) contractors are among the largest sponsors of defined benefit pension plans in the U.S. and factor pension costs into the price of DOD contracts. Since the 2008 market downturn, these pension costs have grown -- thereby increasing DOD contract costs -- and recent changes in rules for calculating pension costs have raised the prospect of further cost increases. Given this possibility, this report assessed how (1) contractor pension costs are determined; (2) DOD ensures the contractor pension costs it pays are appropriate; (3) DOD contractorsäó» defined benefit pension plans compare with plans sponsored by similar companies; (4) pension costs have affected DOD contract costs and the factors that contributed to these pension costs; and (5) the harmonization of CAS with ERISA will affect the amounts DOD will pay in pension costs in coming years. Tables and figures. This is a print on demand report.
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