Talk:Defined benefit pension plan

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A fact from Defined benefit pension plan appeared on Wikipedia's Main Page in the Did you know column on 16 May 2009 (check views). The text of the entry was as follows:

Did you know... that in the United States, 88 percent of public employees are covered by a defined benefit pension plan?

A record of the entry may be seen at Wikipedia:Recent additions/2009/May.

Wikipedia

Calculating the pension in salary averaging plans

The salary averaging in many plans including Canadian federal employee plans, uses current dollars. That is 5 different dollars are involved in 5 year averaging. This results in inflation during those years decreasing the cost and purchasing power of the pension. This effect can be eliminated by using constant dollars. Then inflation has no direct effect of cost nor purchasing power. This is an advantage to employer and employee.Art Campbell (talk) 15:30, 31 December 2011 (UTC)[reply]

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