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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 updated on Thursday, December 18, 2008 11:11 AM

 
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