Ep #157 - All About Defined Benefit Pension Plans

Grow Money Business with Grant Bledsoe

Some crucial components of effective retirement planning include saving early and regularly, making good investments, and creating a budget for expenses. In this week's episode of Grow Money Business, Grant dives into defined-benefit pension plans. Throughout the episode, we talk about the specifics of a defined-benefit pension plan, different types of tax-advantaged retirement plans, benefits, investment performance, and more.

[03.03] Defined-benefit pension plan – Grant explains what a defined-benefit pension plan is.

[08.53] Creating a defined-benefit plan – Grant dives into the process of creating a defined-benefit pension plan and how it benefits single business owners, LLCs, or S corporations.

[14.05] Investment performance – Grant explains the relationship between the success of a pension plan and investment performance.

[22.32] Pension assets – Grant describes what happens when pension assets become volatile and some best practices for avoiding volatility.

[26.52] CalPERS/ CalSTRS – Grant ties in the California Public Employees' Retirement System and California State Teachers Retirement System.

[31.14] Defined-contribution plan – Wrapping up the conversation, Grant shares the impacts you can have on your defined-distribution plan if you create a defined-benefit plan.

Resources

Defined Benefit Plan -

www.irs.gov/retirement-plans/defined-benefit-plan

Personal Defined Benefit Plan -

www.schwab.com/small-business-retirement-plans/personal-defined-benefit-plan

What Is a Defined-Benefit Plan? Examples and How Payments Work -

www.investopedia.com/terms/d/definedbenefitpensionplan.asp