2 ms·
a) Historically pensions weren’t mandated by law, that’s irrelevant to the definition. b) We have tax breaks for retirement savings accounts c) Laws names are
by Retric 1y ago
a) Historically pensions weren’t mandated by law, that’s irrelevant to the definition.
b) We have tax breaks for retirement savings accounts
c) Laws names are just a PR exercise, I’m sure you can think of several that don’t do what they imply.
- maratc 1y agoI think this is very similar to 401(k) or IRA, or "self-invested personal pension", except that the law sets the percentage amounts for both employee and employer contributions.
- Retric 1y agoWe don’t call a 401(k) or an IRA a pension. “A 401(k) is classified as a defined contribution plan while a pension is a defined benefit plan.“ https://www.investopedia.com/ask/answers/100314/whats-difference-between-401k-and-pension-plan.asp https://www.investopedia.com/ask/answers/100314/whats-differ... But there’s little point in arguing over definitions when it’s clear what’s actually going on.