Postretirement Funding

Definition of "Postretirement funding"

Brian Lord real estate agent
Brian Lord, Real Estate Agent RE/MAX Town Centre

Method of funding a pension plan after a worker retires. An employer purchases an annuity or sets aside a sum when an employee retires that will pay monthly lifetime benefits. Postretirement funding is no longer permitted under the employee retirement income security act Of 1974 (erisa), which requires current funding of future pension liabilities.


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