Which of the following accurately describes the responsibilities of an agent pension plan?

The responsibilities of an agent pension plan include the requirement for each government entity to maintain its own contributions. In this type of pension plan, the pension assets and liabilities are managed separately for each participating employer. This means that each employer is responsible for tracking its own contributions to the plan, ensuring there is accountability for the funds it contributes on behalf of its employees.

In contrast, the other options do not accurately represent the characteristics of an agent pension plan. The involvement of the state government is typically less direct, with individual entities retaining control over their funds. Furthermore, tracking employer contributions is a fundamental aspect of ensuring the financial health of the pension system, and employees generally have a vested interest in their accounts, including their contributions. Therefore, maintaining accurate records of contributions is essential for proper pension fund management and for ensuring benefits are appropriately distributed to retirees.