pension

(redirected from Defined-benefit pension)
Also found in: Dictionary, Thesaurus, Legal, Financial, Encyclopedia.
Related to Defined-benefit pension: Defined Contribution Pension Plan

pension

(1) A regular payment plan intended to provide a person who retired from a job with a secure income for life.
(2) A monthly payment from a pension.
Segen's Medical Dictionary. © 2012 Farlex, Inc. All rights reserved.
References in periodicals archive ?
The Financial Conduct Authority backs up these fears and the watchdog estimates only 47% of transfers out of defined-benefit pensions can be deemed suitable for the individual.
General Motors took a more drastic approach to managing the risks involved in defined-benefit pensions when it announced recently that it will offer lump-sum buyouts to salaried retirees and transfer the management of its active pension plans for salaried retirees to Prudential Financial.
"Many companies, large and small, have active or closed defined-benefit pension schemes," said Charles Tilley, CIMA's chief executive.
Defined-benefit pension plans not only offer more retirement security via a guaranteed monthly check, they often allow you to purchase service credit, in case you move from one retirement system to another during your career.
Legislative Reactions to Underfunded Defined-Benefit Pension Plans
Some operating cost-control strategies--again benefiting from the niche music focus--include: extensive use of contracted services in non-mission centered areas including dining, auxiliary, and facility services; a reasonable (for music instruction) 15-17 hour/week faculty workload; diligent and vertical use of expensive Boston real estate space (about 600,000 square feet for 3,700 students); partial use of a defined-benefit pension approach; extensive use of student employees in many educational facilities, and a creative approach to the use of part-time faculty that provides for health and pension benefits to many teaching higher loads.
Over the last few years, the total underfunding in the defined-benefit pension system has deteriorated to the point where the Pension Benefit Guaranty Corporation (PBGC), the federal agency responsible for protecting private sector defined benefit plan benefits, estimates that total plan underfunding grew to more than $400 billion as of December 31, 2002, and still exceeded $350 billion as of September 4, 2003.
One of the most important issues facing the pension world today involves companies replacing their traditional, defined-benefit pension plans with cash-balance plans.