Which of the following is a hybrid of defined benefit and defined contribution plans?
A)401(k) plan
B)Employee stock ownership plan
C)Cash balance plan
D)Profit-sharing plan

Question

Quizplus · Accepted Answer

Cash balance plans are a hybrid of defined benefit and defined contribution plans. In a cash balance plan, the employer contributes a set amount of money to an individual account for each employee, and the employee receives a guaranteed benefit upon retirement, similar to a defined benefit plan. However, the employee account balance can be tracked and managed like a defined contribution plan, giving employees more control over their retirement funds.

Which of the Following Is a Hybrid of Defined Benefit