Pension Planning description

The purpose of a pension is to provide guaranteed income in retirement.

A pension plan is a type of retirement plan similar to a 401(k) plan or a 403(b) plan. ... A defined benefit plan guarantees that employees receive a certain amount upon retirement, regardless of their investment's performance. This guarantees you a certain amount of money each month once you reach retirement age.
A pension plan is a form of Defined Benefit (DB) retirement plan. A company may provide pensions to its employees. These pensions provide a set level of income in retirement - assuming the company doesn't fold or confiscate pension funds.