To amend the Internal Revenue Code of 1986 and the Employee Retirement Income Security Act of 1974 to permit certain projected benefit increases to be taken into account in determining the amount of the full-funding limitation, and to amend such Code to increase the excise tax on employer reversions from qualified plans.

Amends the Internal Revenue Code and the Employee Retirement Income Security Act of 1974 to permit 90 percent of projected current liability to be taken into account in determining the amount of the full-funding limitation under pension plans. Defines projected current liability to include projected increases in liabilities to employees and their beneficiaries resulting from future increases in compensation if such increases were assumed to occur at a specified annual rate.

Increases the tax on employer reversions from a qualified plan from 15 percent to 30 percent.