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ABO |
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ABO Accumulated Benefit Obligation The present value of the future liability of an employee's pension, assuming that the employee is fired or retires on the date the calculation is performed. For example, the accumulated benefit obligation is what the pension fund must pay the employee should the employer make no further contributions and the employee retires immediately. The accumulated benefit obligation therefore assumes that the employee will make no further contributions to the pension plan. See also: Projected Benefit Obligation. Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content. |
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