Fairfax Virginia Plan de Pensiones de Beneficio Definido y Contrato de Fideicomiso - Defined-Benefit Pension Plan and Trust Agreement

• Category: Fideicomisos - Negocios
• State: Multi-State
• County: Fairfax
• Control #: US-1073BG
• Format: Word

Description

A defined benefit pension plan is a type of pension plan in which an employer or sponsor promises a specified pension payment, lump-sum (or combination thereof) on retirement that is predetermined by a formula based on the employee's earnings history, tenure of service and age, rather than depending directly on individual investment returns. Traditionally, many governmental and public entities, as well as a large number of corporations, provided defined benefit plans, sometimes as a means of compensating workers in lieu of increased pay. A defined benefit plan is "defined" in the sense that the benefit formula is defined and known in advance. Conversely, for a "defined contribution retirement saving plan", the formula for computing the employer's and employee's contributions is defined and known in advance, but the benefit to be paid out is not known in advance. Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement The Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement is a comprehensive retirement plan established by the Fairfax County government in Virginia. It aims to provide retirement benefits to eligible employees, ensuring financial security and stability during their post-employment years. This pension plan is classified as a defined-benefit plan, meaning that it guarantees a specific retirement benefit amount based on factors such as an employee's years of service, salary, and a predetermined formula. The plan typically offers a monthly retirement income to beneficiaries for the remainder of their lives. The Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement is governed by a set of legal and financial regulations to protect the interests of both the employees and the county government. The plan is administered by a team of professionals who manage and invest the pension fund assets to ensure adequate funding for future pension obligations. Key elements and features of the Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement include: 1. Eligibility: The plan covers a wide range of eligible employees, including full-time and part-time workers, certain elected officials, and members of the uniformed housing, rescue, fire, or police departments. 2. Vesting: Employees become vested in the pension plan after completing a specific number of years of service, typically five years. Once vested, employees are entitled to receive their pension benefits upon retirement, regardless of their future employment status. 3. Benefit Calculation: The retirement benefit amount is determined using a formula that considers factors like the employee's average salary and years of credible service. The formula may vary depending on the specific employee group to which the beneficiary belongs. 4. Survivor Benefits: In the event of an employee's death, the plan may provide survivor benefits to their eligible spouse or dependents, ensuring continued financial support. 5. Cost-of-Living Adjustments (Colas): The plan may incorporate Colas to help protect pension payments against inflation. Colas provide periodic increases in retirement benefits to help beneficiaries maintain their purchasing power over time. It is worth noting that the Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement may have different variations or tiers based on employment groups within the county government. These variations may exist for different categories such as general county employees, public safety personnel, educators, and elected officials. Each tier may have slightly different eligibility criteria, benefit formulas, and retirement ages tailored to the specific needs and demands of the employee group. Overall, the Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement serves as an essential retirement vehicle for eligible employees of the Fairfax County government, offering them a reliable and secure income source throughout their retirement years.

Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement The Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement is a comprehensive retirement plan established by the Fairfax County government in Virginia. It aims to provide retirement benefits to eligible employees, ensuring financial security and stability during their post-employment years. This pension plan is classified as a defined-benefit plan, meaning that it guarantees a specific retirement benefit amount based on factors such as an employee's years of service, salary, and a predetermined formula. The plan typically offers a monthly retirement income to beneficiaries for the remainder of their lives. The Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement is governed by a set of legal and financial regulations to protect the interests of both the employees and the county government. The plan is administered by a team of professionals who manage and invest the pension fund assets to ensure adequate funding for future pension obligations. Key elements and features of the Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement include: 1. Eligibility: The plan covers a wide range of eligible employees, including full-time and part-time workers, certain elected officials, and members of the uniformed housing, rescue, fire, or police departments. 2. Vesting: Employees become vested in the pension plan after completing a specific number of years of service, typically five years. Once vested, employees are entitled to receive their pension benefits upon retirement, regardless of their future employment status. 3. Benefit Calculation: The retirement benefit amount is determined using a formula that considers factors like the employee's average salary and years of credible service. The formula may vary depending on the specific employee group to which the beneficiary belongs. 4. Survivor Benefits: In the event of an employee's death, the plan may provide survivor benefits to their eligible spouse or dependents, ensuring continued financial support. 5. Cost-of-Living Adjustments (Colas): The plan may incorporate Colas to help protect pension payments against inflation. Colas provide periodic increases in retirement benefits to help beneficiaries maintain their purchasing power over time. It is worth noting that the Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement may have different variations or tiers based on employment groups within the county government. These variations may exist for different categories such as general county employees, public safety personnel, educators, and elected officials. Each tier may have slightly different eligibility criteria, benefit formulas, and retirement ages tailored to the specific needs and demands of the employee group. Overall, the Fairfax Virginia Defined-Benefit Pension Plan and Trust Agreement serves as an essential retirement vehicle for eligible employees of the Fairfax County government, offering them a reliable and secure income source throughout their retirement years.

Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.