BACKNEXT

Can I count on the money to be there when I need it?

If your employer is a company that's still in business when you retire, it will make the payouts. There's a federal law called the Employee Retirement Income Security Act, or ERISA, that makes sure of that. Still, it's possible that your company might run into a financial mess that puts your defined benefit payout in jeopardy.

That's why most pensions offered by companies are part of the federal Pension Benefit Guarantee Corp. Much like the FDIC insures bank deposits if a bank fails, the PBGC will step up to the plate if a company goes out of business or declares bankruptcy, and says it doesn't have the money set aside to pay all the future benefits you expected to get when you retired. The PBGC insures the pensions of more than 44 million workers in more than 26,000 private defined benefit plans.

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.