Which is an example of an unfunded retirement plan?

Question

Quizplus · Accepted Answer

Social Security is an example of an unfunded retirement plan, meaning that it is not fully backed by investments and contributions, but rather relies on current workers' payroll taxes to fund current retirees' benefits. A company-sponsored pension plan or an individual retirement account would be considered funded retirement plans, as they are backed by specific investments and contributions. A retirement portfolio with an investment bank could include a combination of funded and unfunded retirement plans, depending on the specific investments chosen.

Which Is an Example of an Unfunded Retirement Plan