Is a defined benefit or a defined contribution plan better for an employee? for an employer?
Question:
Is a defined benefit or a defined contribution plan better for an employee? for an employer?
Retirement Compensation:
Companies often offer a form of retirement compensation to employees as a part of their benefit package. Retirement plans pay employees once they retire from the company in conjunction with any social security payments.
Answer and Explanation: 1
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View this answerA defined benefit plan is a pension that pays a defined amount of money per month based upon an employees salary, length of service, and other...
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Retirement Compensation Systems: 401(k) and Pensions
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Chapter 7 / Lesson 6
11K
Retirement Compensation systems are employed by companies to keep employees safe upon retirement. Learn more about defining contribution plans, read on examples of each type and the usage of cash payment plans, pensions and 401(k) plans.
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