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In general, defined benefit (DB) plans come in two varieties: traditional pensions and cash-balance plans. defined contribution (DC) plans include 401(k) plans, 403(b) plans, employee stock ownership plans, and profit-sharingplans. Examples of.
Some companies share a portion of their profits with employees as a way to reward them for their contributions to the company's success. This can be distributed through bonuses, profit-sharingplans, or stock options.
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