District of Columbia Defined-Benefit Pension Plan and Trust Agreement

• Category: Trusts - Business
• State: Multi-State
• Control #: US-1073BG
• Format: Word; Rich Text

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. The District of Columbia Defined-Benefit Pension Plan and Trust Agreement is a retirement savings program designed for eligible employees of the District of Columbia government. A defined-benefit plan allows employees to receive a predetermined amount of retirement benefits based on specified factors such as years of service, salary history, and age at retirement. The District of Columbia offers several types of Defined-Benefit Pension Plan and Trust Agreement, tailored to meet the specific needs and eligibility criteria of different groups. Some of these types include: 1. Employees' Retirement System (ERS): The ERS is available to most government employees, including teachers, police officers, firefighters, administrative staff, and other civil servants. It offers a comprehensive retirement plan, ensuring financial security for retired employees. 2. Police Officers and Firefighters' Retirement Plan (PO FRP): This plan is designed exclusively for police officers and firefighters. It provides specialized retirement benefits that account for the unique risks and demands of their profession. The PO FRP offers a way to safeguard financial stability for those who serve and protect the District of Columbia. 3. Judges' Retirement System (JR): The JR caters to judges and justices serving within the District of Columbia court system. It offers a distinct pension plan tailored to meet the specific needs of the judicial community. These District of Columbia Defined-Benefit Pension Plan and Trust Agreements aim to provide a secure retirement future for government employees who contribute to the District's overall functionality and development. By participating in these plans, employees can feel confident in their financial well-being and enjoy a comfortable retirement lifestyle. Keywords: District of Columbia, Defined-Benefit Pension Plan, Trust Agreement, retirement savings, retirement benefits, government employees, employees' retirement system, police officers and firefighters' retirement plan, judges' retirement system, retirement future, financial security.

The District of Columbia Defined-Benefit Pension Plan and Trust Agreement is a retirement savings program designed for eligible employees of the District of Columbia government. A defined-benefit plan allows employees to receive a predetermined amount of retirement benefits based on specified factors such as years of service, salary history, and age at retirement. The District of Columbia offers several types of Defined-Benefit Pension Plan and Trust Agreement, tailored to meet the specific needs and eligibility criteria of different groups. Some of these types include: 1. Employees' Retirement System (ERS): The ERS is available to most government employees, including teachers, police officers, firefighters, administrative staff, and other civil servants. It offers a comprehensive retirement plan, ensuring financial security for retired employees. 2. Police Officers and Firefighters' Retirement Plan (PO FRP): This plan is designed exclusively for police officers and firefighters. It provides specialized retirement benefits that account for the unique risks and demands of their profession. The PO FRP offers a way to safeguard financial stability for those who serve and protect the District of Columbia. 3. Judges' Retirement System (JR): The JR caters to judges and justices serving within the District of Columbia court system. It offers a distinct pension plan tailored to meet the specific needs of the judicial community. These District of Columbia Defined-Benefit Pension Plan and Trust Agreements aim to provide a secure retirement future for government employees who contribute to the District's overall functionality and development. By participating in these plans, employees can feel confident in their financial well-being and enjoy a comfortable retirement lifestyle. Keywords: District of Columbia, Defined-Benefit Pension Plan, Trust Agreement, retirement savings, retirement benefits, government employees, employees' retirement system, police officers and firefighters' retirement plan, judges' retirement system, retirement future, financial security.