Which of the following is considered a hybrid of defined benefit and defined contribution plans?
A) ESOP
B) 401(k) plan
C) flexible savings
D) cash balance plan

Question

Quizplus · Accepted Answer

Without delving into all the details, cash balance plans are a hybrid; they have defined benefit plans' more predictable benefits with defined contribution plans' portability advantages. The employer contributes a percentage of employees' current pay to the employees' pension plans every year, and employees earn interest on this amount.

Which of the Following Is Considered a Hybrid of Defined