The Funded

The Funded, often referring to a pension or retirement plan, describes whether there is enough money set aside to meet future obligations. If a plan is "funded," it has accumulated sufficient assets to pay future promised benefits. Conversely, an "underfunded" plan lacks enough resources, meaning additional contributions or adjustments may be needed to cover future liabilities. The funding status is a key measure of a plan’s financial health, helping ensure that retirees and beneficiaries will receive the benefits they expect. It’s like checking if your savings are enough to cover your planned expenses.