Defined contribution pension scheme: Difference between revisions

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(DC).  
(DC).  


A pension scheme where benefits are based on how much money has been paid into the scheme and the investment returns earned, a significant part of the sum achieved often being invested in an annuity at market rates at or soon after retirement.   
A pension scheme where benefits are based on how much money has been paid into the scheme and the investment returns earned, a significant part of the sum achieved often being invested in an annuity at market rates at - or soon after - retirement.   


Such schemes are by definition funded.
Such schemes are by definition funded.

Revision as of 22:13, 19 April 2020

(DC).

A pension scheme where benefits are based on how much money has been paid into the scheme and the investment returns earned, a significant part of the sum achieved often being invested in an annuity at market rates at - or soon after - retirement.

Such schemes are by definition funded.

Also known as money purchase schemes.


See also