Identify the maximum pension that the current Defined Benefit Plan limits are designed to provide.
A. 9% of the average annual compensation
B. 2% of pre-retirement earnings per year of service.
C. $1,000 plus 70% of pre-retirement earnings
D. 18% of the employees maximum compensation
defined benefit plan给员工最大的pension是2% of pre-retirement earnings per year. 而employee’s current service contributions 是 以下2中较少的那一个， 1. 9% of employee’s compensation for year 2. 1000+70% of their PA for the year. 至于18%则是用在money purchase plan/defined contribution plan里的 combined emploer or employee contribution