Retirement Plans: 401(k)s, IRAs, and Other Deferred Compensation Approaches 11th Edition by Everett Allen,Joseph Melone,Jerry Rosenbloom,Dennis Mahoney

تمرين 1

Assume that an employer wants to provide a reasonable combined replacement ratio (a ratio that combines both Social Security and private pension benefits in the numerator) for high-paid employees without providing an excessive replacement ratio for employees at lower income levels. Illustrate why it may be necessary for the employer to integrate the pension plan. (The mechanics of the integration procedure will be treated in Chapter 25).