Final answer:
Compensated absences that are carry-forward-capable are referred to as accumulating. Meanwhile, in the realm of employee benefits, defined contribution retirement plans like 401(k)s allow for employer and employee contributions and are portable and tax deferred.
Step-by-step explanation:
Compensated absences that can be carried forward and used in future periods if not fully used in the current period of entitlement are referred to as accumulating. These are the type of paid absences that employees can build up over time and use at a later date, such as paid vacation, sick time, or personal days that carry over from one year to the next if they are not used. Unlike contributory plans where both employer and employee contribute or non-contributory plans where only the employer contributes, and vesting, which refers to the point at which employees earn the right to receive full benefits from the employer-sponsored retirement plan, accumulating refers specifically to paid time off policies.
Speaking of employee benefits, retirement plans have been evolving. Defined contribution plans such as 401(k)s and 403(b)s have largely supplanted pensions and other defined benefits retirement plans. In these defined contribution plans, contributions are made by both employer and employee to the worker's retirement account. They are portable across jobs and are advantageous as they are tax deferred, and their returns counteract inflation costs.
Additionally, programs like social insurance operate where individuals contribute now for benefits they will receive later—like in times of old age or sickness when old.