Defined benefit plans are often referred to as pensions. For employees who meet certain criteria in the workplace, these accounts typically pay out predetermined benefits in retirement. Here's a look ...

Once upon a time, many workers didn’t need to worry about how they would spread 401(k) savings across their retirement years. Instead, they participated in a defined-benefit pension plan. Employers ...

Peter Gratton, Ph.D., is a New Orleans-based editor and professor with over 20 years of experience in investing, risk management, and public policy. Peter began covering markets at Multex (Reuters) ...

I was recently speaking to a friend who just got a new teaching job and was offered a one-time choice between enrolling in a traditional defined benefit pension plan or receiving a match in a defined ...

In my ongoing effort to educate people on how life insurance works, I seek out new analogies and examples on a regular basis. Along with others, I’ve written exhaustively about underperformance and ...

James McWhinney is a long-tenured Investopedia contributor and an expert on personal finance and investing. With over 25 years of experience as a full-time communications professional, James writes ...

A defined benefit plan is funded and managed by an employer. A defined contribution plan is managed and funded by employees and boosted by employer contributions. Many or all of the products on this ...

Defined benefit plans guarantee a set retirement payout, reducing investment risk for employees. These plans are rare in the private sector, with employers bearing the majority of funding and risk.