Jump to Navigation
Jump to Content

A Better Bang for the Buck: The Economic Efficiencies of DB Plans

Date Published: 
Thursday, August 14, 2008
National Institute on Retirement Security (August 2008)

This report finds that a defined benefit (DB) pension plan can deliver the same level of retirement income to a group of employees at 46% lower cost than an individual defined contribution (DC) account. The report finds that certain built-in features of DB plans enable the systems to be the most fiscally efficient way to provide retirement income.