Pension plans are retirement savings plans that ensure financial support post-retirement, promoting independence in the absence of income. They include defined benefit plans, which guarantee a specific payout based on a fixed formula, and defined contribution plans, where payouts depend on contributions and investment performance. Thepolicykart helps individuals compare and find the best retirement plans suited to their needs for a secure future.

1. Pension plan

2. Pension plan
•Pension plans are individual retirement plans
that let you allocate a part of your saving for
your future.
•A pension plan can be understood as a plan
that guarantee you to provide a good salary
after your retirement.

3. Importance
•It ensures a financial support in your post
retirement age.
•It ensures your independency for money,
even in those days when there will be no
income and job in your life.
•It is a planning for secure future.

4. Qualified pension plans
•Defined benefit plan (DB)
•Defined contribution plan (DC)

5. Defined benefit plan
• Defined benefit pension plan guarantees a certain payout at
retirement, for life.
• Amount of pension is paid according to a fixed formula
which usually depends on the member's salary and the
number of years' membership in the plan.
• If the pension plan allows for early retirement, payments
are often reduced to recognize that the retirees will receive
the payouts for longer periods of time.

6. Defined benefit plan
• In most pension plans, the employee, the employer,
or both may make contributions.
• plans are better for people who have 20 years until
retirement or less, since the annual contributions can
be larger.
• If there is any shortfall in the money required, your
employer must pay the difference.

7. Defined contribution plans
• A defined contribution plan will provide a payout at retirement
that is dependent upon the amount of money contributed and the
performance of the investment vehicles utilized.
• DC allows the employer and/or employee to make
contributions, so that the final benefits depend on how much
was in the account and the rate earned by the account's
investments.
• An individual account must be set up for each participant in the
plan.

8. Defined contribution plans
• With a DC plan, contributions are guaranteed, but
retirement income is not.
• You are responsible for investing all contributions to grow
your savings. In this way, the plan is similar to an RRSP
(Registered retirement Saving Plan)
• The amount available for your retirement depends on the
total contributions made to your account and the investment
returns this money earned.

9. Why thepolicykart?
• Compare and buy the best retirement plan at Thepolicykart
• We understand your need and preferences.
• We make your comparison easy and systematic.
• We believe, a right pension plan makes a secure plan for your
retirement in a phased manner.
• We always advise to choose the best retirement plan that can act
as a savior of your life in those golden years.
• We believe in your satisfaction.