{"id":1185,"date":"2015-03-03T09:26:56","date_gmt":"2015-03-03T09:26:56","guid":{"rendered":"http:\/\/www.newsfin.co.uk\/news\/?p=1185"},"modified":"2015-03-03T09:26:56","modified_gmt":"2015-03-03T09:26:56","slug":"defined-benefit-pension-schemes","status":"publish","type":"post","link":"https:\/\/www.vizionwealth.co.uk\/news\/defined-benefit-pension-schemes\/","title":{"rendered":"Defined Benefit Pension Schemes"},"content":{"rendered":"<p><strong>Salary-related pension based on the number of scheme membership years <\/strong><\/p>\n<p>Some employers offer these schemes, also known as\u00a0&#8216;salary-related pension schemes&#8217;.\u00a0When someone retires from the scheme, it pays them a pension where the benefit is based on rules set out by the scheme.<!--more--><\/p>\n<p><strong>How defined benefit schemes work<\/strong><\/p>\n<p>Defined benefit schemes usually provide a pension income based on:<\/p>\n<p>The number of years someone has been a member of the scheme\u00a0\u2013 known as &#8216;pensionable service&#8217;<\/p>\n<p>Pensionable earnings\u00a0\u2013 this could be salary at retirement (known as &#8216;final salary&#8217;), salary averaged over a career (&#8216;career average&#8217;), or some other formula<\/p>\n<p>The proportion of those earnings received as a pension for each year of membership\u00a0\u2013 this is called the &#8216;accrual rate&#8217;, and some commonly used rates are 1\/60th or 1\/80th of pensionable earnings for each year of pensionable service<\/p>\n<p>These schemes are run by trustees who look after the interests of the scheme&#8217;s members. The employer contributes to the scheme and is responsible for ensuring there is enough money at the time the scheme member retires to pay their pension.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Salary-related pension based on the number of scheme membership years Some employers offer these schemes, also known as\u00a0&#8216;salary-related pension schemes&#8217;.\u00a0When someone retires from the scheme, it pays them a pension where the benefit is based on rules set out by the scheme.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3,5],"tags":[],"_links":{"self":[{"href":"https:\/\/www.vizionwealth.co.uk\/news\/wp-json\/wp\/v2\/posts\/1185"}],"collection":[{"href":"https:\/\/www.vizionwealth.co.uk\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vizionwealth.co.uk\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vizionwealth.co.uk\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vizionwealth.co.uk\/news\/wp-json\/wp\/v2\/comments?post=1185"}],"version-history":[{"count":0,"href":"https:\/\/www.vizionwealth.co.uk\/news\/wp-json\/wp\/v2\/posts\/1185\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.vizionwealth.co.uk\/news\/wp-json\/wp\/v2\/media?parent=1185"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vizionwealth.co.uk\/news\/wp-json\/wp\/v2\/categories?post=1185"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vizionwealth.co.uk\/news\/wp-json\/wp\/v2\/tags?post=1185"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}