The pension plan, in which specific amount of profit is transferred to employees account, that are payable at the time of retirement or death is classified as?

Correct answer: A. deferred profit sharing plan

  • A. deferred profit sharing plan
  • B. savings and thrift plan
  • C. cash balance plans
  • D. early retirement window

Explanation

A deferred profit-sharing plan places a specified share of company profits into employees' accounts, with payment generally deferred until retirement, death or another permitted event. A savings and thrift plan is based mainly on employee contributions and often matching contributions.

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About Human Resource Management

Human resource management deals with acquiring, developing, rewarding and retaining employees within an organisation. It includes job analysis, recruitment, selection, training, performance appraisal, compensation, career planning, labour relations and workplace discipline. Recruitment attracts applicants, while selection evaluates them and chooses the most suitable candidate.

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