Career Average Revalued Earnings Care Pensions
What are they & how do they compare to Final Salary schemes?
CARE stands for ‘Career Average Revalued Earnings’, a name which gives a clear indication of what it entails. CARE like Final Salary is a type of ‘defined benefit’ pension scheme i.e scheme members are promised a defined level of pension when they retire or leave on a formula generally related to their salary and years of service.
In calculating the pension the ‘Earnings’ you have in each year of your employment, or ‘Career’ are taken into account and an ‘Average’ of all of them is calculated.
Read more on CARE pension schemes below.