BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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cash balance plans
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early retirement window
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deferred profit sharing plan
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savings and thrift plan
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Detailed explanation-1: -EPS was launched in 1995 and allowed existing and new EPF members to join the scheme. Both the employer and employee contribute 12% each of the employee’s pay towards EPF.
Detailed explanation-2: -Defined Contribution (DC) pension plans define the amount of required contributions to the pension plan. A member’s pension benefits are based on contributions from the member (if the plan is contributory) and the employer.
Detailed explanation-3: -There are 2 main types: defined contribution-a pension pot based on how much is paid in. defined benefit-usually a workplace pension based on your salary and how long you’ve worked for your employer.
Detailed explanation-4: -A defined benefit plan (APERS) specifies exactly how much retirement income employees will get once they retire. A defined contribution plan only specifies what each party – the employer and employee – contributes to an employee’s retirement account.