Compare Defined Benefit vs Defined Contribution Pensions

Your employer's offering a choice: keep the defined benefit scheme or move to defined contribution. It's a big call and the jargon hides what matters. Give it your accrual rate, salary, service and the new contribution terms, and this compares the two on what each actually leaves you with at retirement.

I have been offered a choice between staying in my employer's defined benefit (final salary) scheme and moving to a new defined contribution arrangement. My situation:

- DB scheme: accrual rate {ACCRUAL_RATE}, current pensionable salary {PENSIONABLE_SALARY}, years of service {YEARS_SERVICE}, normal retirement age {DB_RETIREMENT_AGE}, indexation {DB_INDEXATION}
- DC scheme: employer contributes {DC_EMPLOYER_PERCENT}%, I would contribute {DC_EMPLOYEE_PERCENT}%, invested in a default lifestyle fund

Compare the two options across: income certainty, inflation protection, death benefits, flexibility, portability, and projected outcomes. Include the approximate transfer value of my DB rights and what investment return the DC scheme would need to match the DB promise. Conclude with a structured recommendation and the key risks of each path.