Blog Post Defined Benefits Vs. Defined Contribution


Jan

31

2013

Defined Benefits Vs. Defined Contribution

A new report finds that while defined contribution (DC) plans such as 401(k)s cost more per employee hour worked than defined benefit (DB) plans, the DC plans cost less per participant than the DB plans. The average per-participation cost for DB plans is $2.53, compared with $1.46 for DC plans, according to a new report by the Bureau of Labor Statistics.

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