Consider two pension plans for Brian, who works for Hydropower Corporation, and Darnell, who works for SolarVet company. Plan A Brian will receive 50% of his average annual salary during the five years in which his salary was highest if he stays with Hydropower at least 15 years, and 80% if he stays with Hydropower at least 30 years. Plan B SolarNet contributes 6% every month to Darnell's retirement plan, and Darnell also contributes 6% from his paycheck each pay period. Which of the following pension plans is a defined-benefit plan? Plan A O Plan B Which of the following is the key characteristic that distinguishes between defined contribution and defined-benefit pension plans? A defined benefit plan allows employees to decide how to invest the money set aside for their retirement O A defined contribution plan allows employees access to money any time before retirement, for any reason, with no penalty. O A defined contribution plan allows employees to decide how to invest the money set aside for their retirement. O A defined-benefit plan requires the employer to contribute funds every pay period that then can be invested until the employee's retirement. Which of the following statements about a defined-contribution plan are accurate? Check all that apply. Employees can designate what proportions of their money should be allocated to particular types of investments. Employees can access money any time free of charge before retirement. All employees ultimately will have the same account balance at the time of retirement. The sponsoring firm's main responsibility is its contributions to the fund. Consider two pension plans for Brian, who works for Hydropower Corporation, and Darnell, who works for SolarVet company. Plan A Brian will receive 50% of his average annual salary during the five years in which his salary was highest if he stays with Hydropower at least 15 years, and 80% if he stays with Hydropower at least 30 years. Plan B SolarNet contributes 6% every month to Darnell's retirement plan, and Darnell also contributes 6% from his paycheck each pay period. Which of the following pension plans is a defined-benefit plan? Plan A O Plan B Which of the following is the key characteristic that distinguishes between defined contribution and defined-benefit pension plans? A defined benefit plan allows employees to decide how to invest the money set aside for their retirement O A defined contribution plan allows employees access to money any time before retirement, for any reason, with no penalty. O A defined contribution plan allows employees to decide how to invest the money set aside for their retirement. O A defined-benefit plan requires the employer to contribute funds every pay period that then can be invested until the employee's retirement. Which of the following statements about a defined-contribution plan are accurate? Check all that apply. Employees can designate what proportions of their money should be allocated to particular types of investments. Employees can access money any time free of charge before retirement. All employees ultimately will have the same account balance at the time of retirement. The sponsoring firm's main responsibility is its contributions to the fund
