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Age-Weighted Plans

An age-weighted allocation formula that takes into account the participants’ respective ages and service when allocating contributions can also be added to a pension plan.

This generally results in older employees receiving a higher allocation percentage since they are closer to retirement age.

 

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Information is provided for review and consideration only. Please consult legal and tax advisors for practical advice pertaining to your business and personal situations.

This page was last reviewed and/or updated on Friday, August 13, 2010 10:46 AM

 
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