Unfunded superannuation schemes in Australia:

Question

Quizplus · Accepted Answer

Unfunded superannuation schemes in Australia are indeed a financial liability to the fund employer or sponsor, as they are typically defined benefit schemes where the benefits are paid directly from the employer's funds rather than from a separately funded pool of assets. These schemes are most commonly found in the public sector, where the government or public sector entities promise to pay certain benefits to their employees upon retirement without setting aside specific funds in advance to meet these future obligations.

Unfunded Superannuation Schemes in Australia