### Question
How is the term permissible range defined?


### Answer
The term **permissible range** is defined in *26 U.S.C. § 431* as the following:

> a rate of interest which is not more than 5 percent above, and not more than 10 percent below, the weighted average of the rates of interest on 30-year Treasury securities during the 4-year period ending on the last day before the beginning of the plan year

#### Citation:
  - *26 U.S.C. § 431*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter D-Deferred Compensation, Etc. > PART III-RULES RELATING TO MINIMUM FUNDING STANDARDS AND BENEFIT LIMITATIONS > Subpart A-Minimum Funding Standards for Pension Plans**

