What type of payment do benefit plans provide?

Benefit plans are designed to provide systematic financial support to individuals, particularly as they transition into retirement. The correct choice signifies that these plans generally offer benefits payable at retirement, which aligns with the structure of programs like pensions or defined benefit plans.

These plans accumulate value over time, allowing participants to receive payments once they reach retirement age. This ensures a steady income stream during retirement, which is critical for financial stability after one stops earning a regular paycheck.

In contrast, other options either limit the scope of benefits (such as being designed only for healthcare needs), suggest a one-time payment that may not cater to ongoing financial needs during retirement, or imply monthly payments that might not be characteristic of all benefit plans. Not every benefit plan provides monthly payments, as certain plans may offer other forms of income distribution, but the principal idea is that they provide defined benefits specifically when one retires, supporting sustained financial health in that phase of life.