A pension is a retirement plan that provides regular payments to an individual after they retire.Pensions can be either defined benefit or defined contribution.Defined benefit plans promise a specific monthly payment in retirement, while defined contribution plans allow individuals to invest their own money and receive a variable monthly payment in retirement.
Choosing the right pension plan is an important decision.The type of plan that is right for you will depend on a number of factors, including your age, income, and risk tolerance.