Cash Balance plans are like defined contribution plans in the following ways: I. Participants receive statements regularly showing them the balance in their accounts. II. Plan assets are allocated to plan participant accounts, who then direct investment of their assets. III. Vested balances are stated as a lump-sum value.
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Step 1
Yes, similar to defined contribution plans, participants in cash balance plans receive regular statements showing the balance in their accounts. This gives them a clear understanding of their retirement savings at any given time. II. No, this statement is not Show more…
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