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Employee Benefits
 12 Months Ended
Dec. 31, 2021
Retirement Benefits [Abstract]  
Employee Benefits Employee Benefits
Savings Plan
We maintain a 401(k) Savings and Retirement plan that covers all of our employees. Under the plan, employees may defer a portion of their compensation up to the levels permitted by the Internal Revenue Service. We recorded matching contributions of approximately $7.0 million, $6.5 million, and $6.1 million under this plan during 2021, 2020, and 2019, respectively, which were included within “Personnel costs” and “General and administrative expenses” in our consolidated statements of operations.
Defined Benefit Supplemental Executive Retirement Plan
Effective January 2004, we implemented an unfunded noncontributory DB SERP for certain senior executives. The DB SERP, which we administer, calls for fifteen annual payments upon retirement with the payment amount based on years of service and final average salary. Benefit costs and liability balances are calculated based on certain assumptions including benefits earned, discount rates, interest costs, mortality rates, and other factors. We engaged an actuary to calculate the related benefit obligation at December 31, 2021 and 2020 as well as net periodic benefit plan expense for the years ended December 31, 2021, 2020, and 2019. As of December 31, 2021 and 2020, the average remaining service period of plan
participants is 7.5 and 8.5 years, respectively. We believe the assumptions used are appropriate; however, changes in assumptions or differences in actual experience may affect our benefit obligation and future expenses. Actual results that differ from the assumptions are accumulated and amortized over future periods, affecting the recorded obligation and expense in future periods.
The DB SERP’s net benefit obligation is as follows:
Change in Benefit Obligation
(in thousands)
Benefit obligation as of December 31, 2018$18,927 
Service cost335 
Interest cost658 
Payments(1,913)
Actuarial loss1,207 
Benefit obligation as of December 31, 201919,214 
Service cost392 
Interest cost485 
Payments(1,913)
Actuarial loss1,568 
Benefit obligation as of December 31, 202019,746 
Service cost493 
Interest cost349 
Payments(1,913)
Actuarial gain(740)
Benefit obligation as of December 31, 2021$17,935 
The funded status of the DB SERP’s net benefit obligation is as follows:
December 31,
(in thousands)20212020
Unfunded status$14,374 $15,125 
Unamortized net loss3,561 4,621 
Net amount recognized$17,935 $19,746 
Amounts Recognized in the Consolidated Balance Sheets:
December 31,
(in thousands)20212020
Current accrued expenses and other current liabilities$1,913 $1,913 
Non-current other liabilities16,022 17,833 
Total accrued liabilities$17,935 $19,746 
We recorded gross actuarial (gains) losses under the DB SERP of approximately $(0.7) million, $1.6 million, and $1.2 million in 2021, 2020, and 2019, respectively, in other comprehensive income (loss). There were no other components such as prior service costs or transition obligations relating to the DB SERP costs recorded within other comprehensive loss during 2021, 2020, or 2019.
The following weighted average assumptions were used to determine the benefit obligation as of December 31 of each year. Net periodic benefit cost for each year was determined using the weighted average assumptions as of the prior year. We used a third party actuarial specialist to assist in determining, among other things, the discount rate for all three years presented.
Our assumed weighted average discount rate for the defined benefit plan reflects the hypothetical rate at which the projected benefit obligation could be effectively settled or paid out to participants. We determine our discount rate based on a range of factors, including a yield curve composed of rates of return on high-quality, fixed income corporate bonds.
202120202019
Discount rate2.6 %2.0 %2.9 %
Average rate of increase in compensation3.0 %3.0 %2.5 %
At December 31, 2021, the estimated accumulated benefit obligation is $17.9 million. Future payments under the DB SERP are as follows:
(in thousands)
2022$1,913 
20231,913 
20241,913 
20251,913 
20261,913 
Thereafter8,370 
$17,935 
Defined Contribution Supplemental Executive Retirement Plan
In 2013, we established a defined contribution plan that covers certain of our senior executives. Each participant is given a notional account to manage his or her annual distributions and allocate the funds among various investment options (e.g., mutual funds). These accounts are tracking accounts only for the purpose of calculating the participant’s benefit. The participant does not have ownership of the underlying mutual funds. When a participant initiates or changes the allocation of his or her notional account, we will generally make an allocation of our investments to match those chosen by the participant. While the allocation of our sub accounts is generally intended to mirror the participant’s account records (i.e., the distributions and gains or losses on those funds), the employee does not have legal ownership of any funds until payout upon retirement. The underlying investments are owned by the insurance company with which we own an insurance policy.
As of December 31, 2021 and 2020, the estimated accumulated benefit obligation is $4.8 million and $4.5 million, respectively, of which $4.1 million and $4.0 million is funded and $0.6 million and $0.5 million is unfunded at December 31, 2021 and 2020, respectively.
In connection with the DC SERP benefit obligation, we maintain a COLI policy. The carrying value of the COLI is measured at its cash surrender value and is presented within “Other assets” in our consolidated balance sheets. See Note I - “Other Current Assets and Other Assets” for additional information.