Definition: Employee Stock Ownership Plan (ESOP)

Term: Employee Stock Ownership Plan (ESOP)

Definition:Typically, this is a benefit plan that requires that an employee meet certain requirements in order to participate and that has a portion of its investments (if not all) in company stock. An Employee Stock Ownership Plan (ESOP) is a type of defined contribution retirement plan in which the account of the employee consists of company stock.

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Course	Page Number
74 - Trends in Retirement Plans	10

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Employee Stock Ownership Plan (ESOP)