Indiana 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 Indiana Defined-Benefit Pension Plan and Trust Agreement is a comprehensive retirement benefits program that aims to provide financial security for public employees in the state of Indiana. This plan offers a defined benefit structure, which means that the retirement benefits are predetermined by a formula based on factors such as salary, years of service, and age at retirement. Through the Indiana Defined-Benefit Pension Plan and Trust Agreement, participants can expect to receive a guaranteed monthly pension payment upon reaching retirement age. This fixed amount is determined by a combination of the employee's salary history and years of service, ensuring a reliable stream of income throughout their retirement years. The Indiana Public Retirement System (INRS) is responsible for managing and administering the various types of Indiana Defined-Benefit Pension Plan and Trust Agreements. Some of the most common types of pension plans included under this agreement are: 1. Indiana State Teachers' Retirement System (TRY): This plan specifically caters to public school teachers in the state and provides them with financial security after completing their service. It offers a favorable formula that considers their highest consecutive years of service and average high-five years of salary. 2. Indiana State Police Pension Trust (IS PPT): Designed for state police officers, this pension plan provides benefits to active and retired officers and their beneficiaries. The plan focuses on factors such as ordinariness of duty and years of service to determine pension amounts. 3. Indiana State Excise Police Pension Trust (ISEP PT): This plan is tailored for excise police officers employed by the Indiana Alcohol and Tobacco Commission. It offers retirement benefits based on the number of years served and the officers' average salary. 4. Indiana State Gaming Commission Pension Trust (IGCT): Targeting gaming commission employees, this plan acts as a reliable system for providing retirement income to individuals working in the gaming industry in Indiana. Pension benefits are calculated based on years of service and average salary. These are just a few examples of the different types of pension plans covered by the Indiana Defined-Benefit Pension Plan and Trust Agreement. Each plan aims to reward public employees for their dedicated service by ensuring a stable financial future during retirement. The agreement serves as a vital component of Indiana's overall retirement benefits system, providing substantial financial protection and stability to public service workers throughout the state.

The Indiana Defined-Benefit Pension Plan and Trust Agreement is a comprehensive retirement benefits program that aims to provide financial security for public employees in the state of Indiana. This plan offers a defined benefit structure, which means that the retirement benefits are predetermined by a formula based on factors such as salary, years of service, and age at retirement. Through the Indiana Defined-Benefit Pension Plan and Trust Agreement, participants can expect to receive a guaranteed monthly pension payment upon reaching retirement age. This fixed amount is determined by a combination of the employee's salary history and years of service, ensuring a reliable stream of income throughout their retirement years. The Indiana Public Retirement System (INRS) is responsible for managing and administering the various types of Indiana Defined-Benefit Pension Plan and Trust Agreements. Some of the most common types of pension plans included under this agreement are: 1. Indiana State Teachers' Retirement System (TRY): This plan specifically caters to public school teachers in the state and provides them with financial security after completing their service. It offers a favorable formula that considers their highest consecutive years of service and average high-five years of salary. 2. Indiana State Police Pension Trust (IS PPT): Designed for state police officers, this pension plan provides benefits to active and retired officers and their beneficiaries. The plan focuses on factors such as ordinariness of duty and years of service to determine pension amounts. 3. Indiana State Excise Police Pension Trust (ISEP PT): This plan is tailored for excise police officers employed by the Indiana Alcohol and Tobacco Commission. It offers retirement benefits based on the number of years served and the officers' average salary. 4. Indiana State Gaming Commission Pension Trust (IGCT): Targeting gaming commission employees, this plan acts as a reliable system for providing retirement income to individuals working in the gaming industry in Indiana. Pension benefits are calculated based on years of service and average salary. These are just a few examples of the different types of pension plans covered by the Indiana Defined-Benefit Pension Plan and Trust Agreement. Each plan aims to reward public employees for their dedicated service by ensuring a stable financial future during retirement. The agreement serves as a vital component of Indiana's overall retirement benefits system, providing substantial financial protection and stability to public service workers throughout the state.