Match the pension plan and retirement program terms on the right with the descriptions of the terms on the left. (Hint: These are not necessarily complete definitions, but there is only one possible answer for each term.) Cash-balance plan Contributory pension plan Description Defined benefit plan This law permits uncovered workers to establish individual tax-sheltered retirement plans. Defined contribution plan This pension plan uses a formula, stipulated in its provisions, for computing benefits. Employee Retirement Income Security Act of 1974 (ERISA) Noncontributory pension plan Pension Protection Act Under this plan, the employer not only makes the contributions (based on a percentage of an employee's salary), controls the investment, and guarantees given payout at retirement, it also creates a separate account that details the employee's accumulated balance Profit-sharing plans Qualified pension plan This pension plan meets specified criteria established by the Internal Revenue Code. Vested rights This type of plan encourages employees to work harder, because they benefit when the firm prospers