Defined Benefit (DB) pensions are workplace pensions which promise you a guaranteed (i.e. ‘defined’) income at retirement.
You make contributions throughout your working life and the income you get at retirement typically depends on your salary just before retirement and the number of years you worked. What exactly you get at retirement depends on your employer’s scheme rules and there generally isn’t much flexibility on how you can draw the benefits from your pension.
DB schemes are also commonly known as ‘final salary’ schemes.
