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Pension Plan

Last Updated March 22, 2009

Definition

An employer sponsored retirement plan designed to provide participants with annuitized income stream during retirement. Pension plans include defined benefit plans,  money purchase pension plans and  target benefit plans.

Referring Cite

IRC § 401(a)

Additional Helpful Information

Participants and beneficiaries may be given the option to take distributions in lump-sum payments instead of in annuity income streams