college graduates, and employed. They plan to retire in 40 years. To that end, each has a 401-k tax-advantaged retirement account. Martha contributes $600 per month only for the first seven years. Bertha does not invest during the first 20 years but invests $1,200 per month during the last 20 years. * How much would Martha's account hold at

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Employer Pension Plan

An employer pension plan is a retirement benefit provided by an employer to employees before or after they retire. Over the course of the employees' working lives, the employer should invest a lump sum or make monthly contributions to investment schemes in employees' names. It is the employer's legal responsibility to provide employees with retirement plans that support them with guaranteed financial security in retirement.