Source: Go Banking Rates
Defined benefit plans, also known as pensions, have steadily decreased since the 1970s. The most recent data from the Bureau of Labor and Statistics show that less than 10% of private sector employees have access to a defined benefit plan. Since it’s not common option, it’s only natural to ask, “What is a defined benefit plan?”
What Are the Features of a Defined Benefit Plan?
A defined benefit plan guarantees retirement benefits for an employee. Some of the features include: