pensionsplan
A pensionsplan, or pension plan, is a retirement savings arrangement that provides a regular income to individuals after they stop working. These plans are typically established by employers for their employees, although some individuals may also set up personal pension plans. The primary goal of a pensionsplan is to ensure financial security for people in their later years.
There are two main types of pensionsplan: defined benefit (DB) plans and defined contribution (DC) plans. In
Pensionsplan contributions are often tax-advantaged, meaning that the money contributed may not be taxed until it