With the expansion of the Social Security system, a corresponding expansion in employer-sponsored pension and retirement plans occurred. In the National Labor Relations Board ruled that pensions and other types of insurance programs were legitimate subjects for collective bargaining response, many employers established new pension plans or liberalized the provisions of existing ones to meet or anticipate union demands. Match the terms relating to the basic terminology and concepts associated with pension plans and retirement programs on the left with the descriptions of the terms on the right. Read each description carefully and type the letter of the description in the Answer column next to the com term. These are not necessarily complete definitions, but there is only one possible answer for each term. Term Answer Description ERISA This law permits uncovered workers to establish individual tax-sheltered retirement plans. A. Vested rights B. An employer making contributions to this type of plan can deduct the annual contributions from taxable income. Noncontributory pension plan The employee bears part of the contribution cost in this pension plan. C. Based on employee and employer contributions, this is a nonforfeitable night to the receipt Contributory pension plan D. of benefits. Part of this law encourages employees to make greater use of salary reduction (defined Defined contribution plan E. contribution) plans This type of plan encourages employees to work harder, because they benefit when the Defined benefit plan F. firm prospers This type of plan has the employer paying the total contribution costs. G. Qualified pension plan This pension plan uses a formula, stipulated in its provisions, for computing benefits. H. Profit-sharing plan This pension plan combines features of both a defined benefit and a defined contribution I. Pension Protection Act plan, and is portable if an employee leaves the contributing employer. J. With this type of plan, the worker is awarded whatever level of monthly benefits those Cash-balance plan contributions will purchase