Definition
A retirement plan that provides you with a steady income after you retire, often offered by employers or the government.
What to consider
- Know what benefits to expect and when they kick in.
- Plan your retirement strategy around your pension and other savings.
- Stay updated on any changes to the pension plan.
Real world scenarios
- After decades of service at a manufacturing company, David retires with a steady monthly pension that covers basic living costs.
- Zoey calculates how her pension, combined with Social Security, will sustain her lifestyle post-retirement.
- Switching employers mid-career, Brian verifies whether his vested pension from the old job remains intact or offers a lump sum option.
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