 For example, if the employee remains in employment until his retirement age, then he may be entitled to a pension, often calculated by reference to his average salary in the period running up to their exit.The pension might be payable for the remainder of his life, and when he/she dies, at a reduced rate to his/her spouse for the remainder of his/her life.But if he leaves service before being entitled to a pension, he might receive a benefit such as a return of contributions, or a deferred pension payable from normal retirement age, depending on length of service.