fully-funded pension

More Like This

Show all results sharing this subject:

  • Economics


Show Summary Details

Quick Reference

A pension that is financed from accumulated saving. A state-operated fully-funded pension scheme will levy a pension tax (in the US, a ‘social security’ contribution) upon each worker. The tax revenue is then invested by the pension scheme. When the worker retires the investment plus accumulated interest is used to finance pension payments. See also pay-as-you-go pension.

Subjects: Economics.

Reference entries

Users without a subscription are not able to see the full content. Please, subscribe or login to access all content.