The National Conference on Public Employee Retirement Systems recently published a paper about the advantages of state/city employers maintaining a defined benefit pension plan. The paper does an excellent job comparing the costs of a defined benefit (DB) pension plan vs a defined contribution (DC) plan. An interesting topic that the paper reviews is how disability retirees will be paid a benefit from a DC plan: “Almost all state and local DB plans provide disability and survivor benefits, as well as retirement income. Switching to a DC plan would require employers to obtain these benefits from another source, likely at a higher cost.” Click here to read the paper.
https://www.thomanntax.com/wp-content/uploads/2017/07/logo1.png 79 77 Peter Thomann, EA, CFP®, CDFA® http://www.thomanntax.com/wp-content/uploads/2017/07/logo.png Peter Thomann, EA, CFP®, CDFA®2011-02-11 21:05:212018-05-15 18:51:37Top 10 Advantages of Maintaining Defined Benefit Pension Plans