defined benefit plan


A company retirement plan, such as a pension plan, in which a retired employee receives a specific amount based on salary history and years of service, and in which the employer bears the investment risk. Contributions may be made by the employee, the employer, or both.

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You should try and figure out a way to make a defined benefit plan as marketable to prospective employees as possible.

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The defined benefit plan was of considerable value to the retirement conscious candidate who immediately accepted the offer for employment.

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On the first day of his new job, Tom asked about the company's defined benefit plan since he was approaching retirement age and wanted to know the details about the company's retirement plan, such how much he would receive based on his pay and projected time at the company as well as whether he or the company would be making the contributions.

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