Definitions
- Referring to a retirement benefit paid by an employer or government agency. - Describing a regular payment made to a retired person as a form of income. - Talking about a fund set aside for retirement savings.
- Referring to a retirement benefit paid by an employer or government agency in Australia and New Zealand. - Describing a fund set aside for retirement savings in Australia and New Zealand. - Talking about a regular payment made to a retired person as a form of income in Australia and New Zealand.
List of Similarities
- 1Both refer to retirement benefits.
- 2Both involve regular payments made to a retired person.
- 3Both can be provided by an employer or government agency.
- 4Both are forms of income for retirees.
- 5Both are intended to support individuals during their retirement years.
What is the difference?
- 1Structure: Pension can refer to both the benefit and the fund, while superannuation typically refers only to the fund.
- 2Eligibility: Pension may have different eligibility requirements depending on the country or organization providing it, while superannuation is generally available to all employees in Australia and New Zealand.
- 3Taxation: Superannuation is subject to specific tax laws in Australia and New Zealand, while pension may have different tax implications depending on the country or organization providing it.
- 4Investment: Superannuation funds are often invested in a range of assets, while pension funds may have different investment strategies depending on the country or organization providing it.
Remember this!
Pension and superannuation are both retirement benefits that provide regular payments to retired individuals. However, pension is a more widely used term globally and can refer to both the benefit and the fund, while superannuation is specific to Australia and New Zealand and typically refers only to the fund. Additionally, superannuation has specific tax laws and investment strategies in Australia and New Zealand.
