Pension plans

Major League Baseball

MLB has a “defined benefit” plan that promises a specific pension payment to each player that’s determined by when and for how long an athlete played.

Current players with 10 years or more service time were to receive $180,000 per year in pension beginning at age 62. Players who didn’t play 10 seasons and those who played before 1992 receive less money.

NFL

The NFL pension system, which began in 1962, pays retired players according to a formula that includes how many seasons he played and when he played them.

As of June 2006, players are to receive $250 a month for each season played before 1982, $255 a month for each season played between 1982 through 1992, $265 for 1993 and 1994, $315 for 1995 and 1996, $365 for 1997 and $470 per month for each season played between 1998 and today.

A current player who retired after six seasons would get a monthly check for $2,820 in retirement.

NBA

The NBA pension plan was established in 1965 and is a defined benefit program.

Based on a retirement age of 62, current players would receive $12,400 annually for each year of service with a maximum amount of $124,000 (10 years of service). Players must play three seasons to become vested.

Those who played before 1965 still receive $200 per month for each season they played.

NHL

Established in 1947, the NHL has a “defined contribution” plan that establishes an individual account for each player and puts a specific amount of money into that account each year.

Teams begin contributing to a player’s account after his first season, but the player doesn’t become vested in the plan until he has been on an NHL roster for 160 games.

A veteran who has been on an NHL roster for 160 games or more receives the maximum contribution allowed under United States tax law – $45,000 in 2006, according to league officials.