Unlike government-provided retirement benefits, employer-sponsored pension plans are which of the following?

Question

Quizplus · Accepted Answer

Employer-sponsored pension plans are pre-funded, meaning that the employer sets aside money to be invested specifically for the purpose of funding the plan's future obligations. This is in contrast to government-provided retirement benefits, which are typically funded on a pay-as-you-go basis, meaning that the government uses tax revenues to pay benefits to current retirees.

Unlike Government-Provided Retirement Benefits, Employer-Sponsored Pension Plans Are Which of the Following