A defined-contribution plan promises employees a specific amount of retirement income.

Name: A defined-contribution plan promises employees a specific amount of retirement income.
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A defined-contribution plan does not promise a specific amount of retirement income, rather the employer and/or employee contribute a set amount to the employee's retirement account, and the eventual retirement income will depend on the performance of the investments in that account.

A Defined-Contribution Plan Promises Employees a Specific Amount of Retirement