Pensions are fixed sums of money paid regularly to retired workers as a form of income after they have stopped working. These payments are typically provided by the government or employers as a way to support individuals in their retirement years.
Related terms
Social Security: This program provides pensions and other benefits for retired and disabled individuals in the United States.
Retirement: The phase of life when someone stops working because they have reached a certain age or fulfilled specific requirements.
Annuity: A financial product that provides regular payments over a certain period, often used as an investment vehicle for retirement savings.