Money-Purchase Provisions
The terms of a registered pension plan that detail the specific amounts that an employer and employee contribute to the plan. The amounts may be stated in dollars or percentages. The provisions of the pension plan states the maximum amount of the employee's contribution that can be matched by the employer. Money-purchase provisions for registered plans must fall under the governing requirements outlined by the Government of Canada Investopedia Says:
Aside from the government's requirements that the money-purchase provisions must meet, the company offering the registered pension plan also adds its own terms that an employee must follow to qualify for the employer's matching contributions. Related Terms:
Defined-Benefit Pension Plan
Defined-Contribution Plan
Money-Purchase Pension Plan
Pension Plan
Registered Pension Plan - RPP
Registered Retirement Income Fund - RRIF
Registered Retirement Savings Plan - RRSP |