Most employers provide staff with access to a pension
arrangement. There are different types of arrangements
available, with each working in a different way.
There are defined
benefit schemes. These can be final
salary or career
average earnings related schemes. The benefits
provided at retirement are based on the member's service and
earnings.
There are also defined contribution
schemes. These can be money purchase
schemes, group personal
pension plans or group stakeholder
pension schemes. The benefits provided at
retirement are based on how much is paid in and how the chosen
investment performs.
