The rise in the cost of goods and services over time. Inflation reduces buying power. Money market instruments are one of the most liquid investments, providing safety of principal, variable interest, and quick access. A pension plan in which employer contributions are fixed and usually determined as a percentage of pay. Each share in the fund represents part ownership of many different securities and all shareholders share equally in the gains and losses of that fund.
Shares are usually redeemable on demand.
A plan that does not meet the requirements for preferential tax treatment under the Internal Revenue Code. This type of plan allows an employer more flexibility and freedom with coverage requirements, benefit structures, and financing methods. The withdrawal of money from a retirement plan account. The amount of money invested in a security, exclusive of earnings. Non-qualified plans may make cash payments to participants according to a formula based on profits.