Premium
The amount paid or payable for insurance protection; alternatively, payments to fund a deferred annuity.

Profit Sharing Plan
These plans are a type of defined contribution plan that allows discretional contributions by the employer. This is the distinguishing feature about this program because the employer is not obligated to make contributions each year. However, there must be recurring substantial contributions. Employers' contributions to a profit sharing plan are deductible but limited to no more than 15% of the total compensation of the participating employee.

Prospectus
A disclosure document required by the Securities and Exchange Commission that describes a registered variable product (for example, a variable annuity, mutual fund, or variable life insurance policy). A contract prospectus describes such subjects as fees, expenses, risks, investment options and contract benefits, including transfer rights and withdrawal rights. Death benefits and the income phase, if applicable, would be disclosed as well.

Qualified Plan
A pension plan or employee benefit plan that meets a series of federal government requirements and is therefore eligible for certain tax advantages.

Qualified Sick Pay Plans
A disability or sick-leave plan that provides for employees to continue to receive a salary if they become ill or disabled. Wages paid are considered tax deductible.

Security
Evidence of an ownership interest, as in a stock; or a creditor relationship, as in a bond.

Simplified Employee Pensions (SEPs)
An IRA funded by an employer or a self-employed person. Contributions are immediately vested and employees have control of the investment. Like a pension, SEPs require that employers contribute up to a certain percentage of an employee's salary.

Savings Incentive Match Plan for Employees (SIMPLEs)
A salary-reduction contribution plan that has none of the administrative costs related to a 401(k) plan. SIMPLEs require that employees contribute up to a certain percentage of their salary, but employers must also contribute.

Short-Term Disability Income Insurance
Disability income insurance that provides a benefit for a disability for a limited period as specified in an insurance policy. A short-term disability period may be a specified period or the first part of a long-term disability.

Pension
A sum of money paid regularly as a retirement benefit, generally from an employer-sponsored qualified plan.

Pension Plan
A fund that is established for the payment of retirement benefits.

Performance
A measurement of a fund's returns, such as whether the returns are consistent, and how they compare to the returns of comparable funds.

Portfolio
A list of investments, securities, and commercial paper owned, as by a bank or individual investor.