Tag: cash balance
Abstract In light of the recent concerns regarding the solvency of Social Security’s Old-Age, Survivors, and Disability Insurance (OASDI), private pensions may play an increasingly important role in the retirement welfare of U.S. retirees. However, the private pension landscape is also evolving in ways that may result in lower private pension wealth for retirees. On…
Introduction Over the past decade, a notable shift has occurred within defined benefit pensions — away from traditional plans and towards hybrids, such as cash balance plans. Along the way, the movement to cash balance plans has been met with substantial resistance. Critics argue that cash balance plans discriminate against older workers and that employers…
