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Defined Benefit Plan

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Defined Benefit Plan
A qualified retirement plan under which a retiring employee Will receive a guaranteed retirement fund, usually payable in installments.
    
Annual contributions may be made to the plan by the employer at the level needed to fund the benefit. The annual contributions are limited to a specified amount, indexed for Inflation. This is an employer-funded retirement plan designed to pay a predetermined benefit based on an employee's salary and service.
Posted by  Adam Smith Conferences, Institute for International Research
 
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