Earmarking

1. Pensions accounting.

The setting aside, at least notionally, of part of a pension fund for the benefit of a particular member, such as might be the case in a money purchase arrangement.

2. Law.

A court order directing the trustees of a pension scheme to make payments direct to a former spouse of a member; these generally form part of divorce settlements. Also referred to as an attachment order.

3. More generally, the notional setting aside of a part of any fund of assets for a specific purpose.

See also

• Pension scheme