6
Workplace schemes: final salary/defined benefit
What topics are covered in this chapter?
- Bad press for final salary schemes
- Security of defined benefit pensions
- Buying added years or additional pension
- Additional voluntary contributions
- Transfers out of final salary schemes
- Death benefits
Final salary pensions are by a long distance the most desirable pensions you can get, fully meriting the ‘Rolls-Royce of pensions’ tag by which they are often described. Also known as defined benefit schemes, they pay a proportion of the salary you earned when you were working every year for the rest of your life. Not all defined benefit schemes offer a proportion of final salary – some offer a proportion of the employee’s average earnings over their ...
Get FT Guide to Pensions and Wealth in Retirement, 2nd Edition now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
