A pension plan that specifies the benefits that the plan promises to pay to a participant upon retirement, with the benefits determined according to a specified formula. Contrast with defined contribution pension plan.----------[ Back
a Defined Benefit Pension Plan is characterized primarily by a formula under which retirement (and other) pension benefits are calculated. The amount of the pension benefit is typically based on earnings and credited pensionable service. (See Defined Contribution Pension Plan)
A benefit Plan which provides you a known, guaranteed benefit at retirement based on a formula which typically includes a set dollar amount for each year of service
A pension plan, which is a traditional Defined Benefit Plan, provides a pre-determined monthly retirement benefit to an employee based on the employee's earnings history, years of service and age. The cost of these plans is generally funded by Employer Contributions into a trust fund.
A pension plan that promises participants a specified monthly benefit at retirement.
A retirement plan that specifies the amount that a retiree will receive, such as 1% of the person's recent salary times the years of service. The employer's obligation is to contribute enough money to meet those payments. To Top
a qualified retirement plan which promises either a stated benefit at retirement or provides a benefit which is determined according to a fixed formula
A pension plan usually sponsored by an employer that promises to pay a certain benefit at retirement, based on a predetermined formula. Employees may or may not have to contribute to their DB plans.
This type of plan promises to pay you a specific amount when you retire. A formula sets the amount. In some plans, you must contribute.
A type of pension that promises a retiree a specific monthly benefit at retirement based on a formula that incorporates factors such as earnings (e.g., average of highest 3 or 5 year's salary) and years of service.
A plan where benefits are predetermined by a formula and employer contributions depend on the cost of the benefit minus the employee's contributions, if any.
A plan that specifies the pension benefit the employee will receive, usually as a function of one or more factors such as age, years of service or compensation. The employer's annual contribution is determined on an actuarial basis, taking into consideration the employee's age and salary history, the performance of the fund's investments and ERISA requirements.
A pension plan that defines the amount of the benefit that a participant will receive at retirement. See also defined contribution pension plan.
A pension plan that identifies the amount of the retirement benefit each plan participant will receive at retirement. The amount of the benefit is based on the employee's income, years of service, or both income and years of service. The plan sponsor is obligated to deposit enough assets into the plan to provide the promised benefits. Contrast with defined contribution pension plan.
Provides payments to retirees at a specified rate, usually some percentage of the salaries the retirees earned while still working. Now offered less often by private-sector employers, which are responsible for much of the funding.
A pension plan having terms that specify the amount of pension benefits to be provided at a future date or after a certain period of time; the amount specified usually is a function of one or more factors such as age, years of service, and compensation.
A retirement plan based on a formula that indicates the exact benefit that one can expect upon retiring. There are restrictions as to when and how you can withdraw these funds without penalties.
A retirement plan that stipulates that each participant will receive a set payment after a predetermined number of years of service. It does not pay taxes on investments within the plan. Contributions to the plan may be by employer only, employee only or both. See: 401(K) Plan; IRA
A registered pension plan that guarantees a specific income at retirement, based on earnings and the number of years worked.