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    What Is a Pension? Types of Plans and Taxation - Investopedia

    • Learn the definition, types and tax benefits of pension plans, which are employee benefits that require employers to contribute to a retirement fund. Compare defined-benefit and defined-contribution plans, and ho… 展开

    What Is A Pension Plan?

    A pension plan is an employee benefit that commits the employer to making regular contributions to a pool of money set aside to fund payments to eligible employees after they retire. I… 展开

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    Understanding Pension Plans

    A pension plan requires contributions by the employer and may allow additional contributions by the employee. The employee contributions are deducted from wages. The emp… 展开

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    Variations

    Some companies offer both types of pension plans. They even allow participants to roll over 401(k) balances into defined-benefit pension plans. There is another variation: the pa… 展开

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