A Defined Contribution (DC) Plan is a type of retirement pension plan in which the employer, employee or both make specific contributions (mandatory or voluntary depending on the scheme) on a regular basis. The Employee normally has the responsibility of deciding how the contributions are invested and contributes a predetermined portion of employee earnings (usually pre-tax) to an individual account, all or part of which is matched by the employer. (Refer to the Pension Plan (or Scheme))
Related Definitions in the Project: The Commercial Definitions
