"pension model" is correct and usable in written English.
A "pension model" is a system of investing money for retirement. For example, "John decided to go with the pension model, investing in mutual funds through his employer to save for retirement."
To reduce the financial exposure of the state, he said future pensions should be a hybrid of the traditional pension model and a 401(k).
And the Bank now recognises the importance of other resources in old age, such as family help, housing and access to health care.Pillars of societyAs a result, it has extended its "multi-pillar" pension model.
Today roughly half of American corporate pension plans are defined-contribution schemes, primarily 401(k) plans.The American corporate pension model is considered a success, even though last year, for the first time, participants in 401(k) plans lost money.
Some participants in the Teamster plans could find their pensions sharply reduced if their companies grow short of cash; the multiemployer pension model could fade away; and the struggling government agency that insures pensions could wind up shouldering even more debt.
In Chile, many workers try to avoid further mandatory saving once they have contributed for at least 20 years a condition for the right to receive a minimum pension guarantee from the government.Pillars of societyThe authors conclude that the multi-pillar pension model is out of kilter.
The reason the private sector no longer uses the pension model is it's unsustainable". Drozd disagreed.
Fortunately, the team at the Pension Analytics Group have done an analysis using their Multiemployer Pension Simulation Model, based on stochastic analysis (that is, randomized simulations of different outcomes in terms of asset returns, interest rates, and so on from year to year, rather than one single calculation of average outcomes).
Currently, both types of pension models exist in Europe.
In the 1880s Otto von Bismarck in Germany introduced old-age pensions whose model was followed by most other western European countries.
Due to advances in medical care, longevity risk is straining life insurer and pension actuarial models that presupposed a lower life expectancy by 20 years or more.
Actuaries model pension costs over the long term, and when trustees find "excess" money year by year and spend it, they defeat the fundamental premise of the plan — that investment gains, not local taxpayers, will pay most of the cost.
