A defined benefit pension provides a fixed retirement income, often guaranteed for life. The amount is typically determined by things like how long you’ve worked there and your salary during employment.
These are often referred to as final salary pensions or average salary pensions. However, final salary pensions, where your retirement income is the same as your final salary are rare nowadays.
Contributions are deducted from your salary throughout your career, and the scheme can be operated by the organisation itself, such as the NHS.
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