2006-06-20 05:19:47 · 9 answers · asked by Anonymous in Business & Finance ➔ Investing
Being fully vested means that you have been with a company long enough for you to receive all the benefits that the company offers. This includes the 401K.
2006-06-20 05:22:21 · answer #1 · answered by holykrikey 4 · 1⤊ 0⤋
You company adds to your 401k and each year you have avaliable a certain % of these funds they contribute to your 401k avaliable to you each year if you close your account. Most companie have a 4-5 year vesting before you are 100% vested. All the funds are there and making you money it just not all avaliable till you reach 100% vesting.
2006-06-20 11:15:57 · answer #2 · answered by John H 4 · 0⤊ 0⤋
When you contribute to your 401k and the company matches part or all of your contribution, the money that they contribute is not totally yours the minute that they contribute it. So if you quit the company, you would get to keep the money that you contributed, but only a portion of the money that they contributed. Each year that you work there, a greater percentage of the money that they put in belongs to you. Kind of like equity. After a number of years (according to company policy) then all of the money that they contribute is yours, too. Then you are fully vested.
2006-06-20 05:23:14 · answer #3 · answered by double_nubbins 5 · 0⤊ 0⤋
Any and all contributions now belong to you. If you are not fully vested you only get back what you put in. When you are fully vested you receive all of the money including any contributions your company matched
Aside from Alpha and Double these people do not know what the hell they are talking about.
2006-06-20 05:23:16 · answer #4 · answered by JDINFLA 3 · 0⤊ 0⤋
It means that the participant in the 401k plan has full rights with respect to their account - the account can be withdrawn, transferred to a new employer, etc.
Ownership rights accrue over some period of time (the vesting period), commonly over a few years
2006-06-20 05:22:38 · answer #5 · answered by just_the_facts_ma'am 6 · 0⤊ 0⤋
It basically means that you may be getting good things now but you are3 making a deal with someone or something that doesn't take the high road and can easily cause you to lose something of value to you. A deal with the Devil, pact with the Devil, or Faustian bargain is a cultural motif widespread wherever the Devil is vividly present, most familiar in the legend of Faust and the figure of Mephistopheles, but elemental to many Christian folktales. In the Aarne-Thompson typological catalogue, it lies in category AT 756B – "The devil's contract." According to traditional Christian belief in witchcraft, the pact is between a person and Satan or any other demon (or demons); the person offers his or her soul in exchange for diabolical favours. Those favours vary by the tale, but tend to include youth, knowledge, wealth, or power. It was also believed that some persons made this type of pact just as a sign of recognizing the Devil as their master, in exchange for nothing. Regardless, the bargain is a dangerous one, for the price of the Fiend's service is the wagerer's soul. The tale may have a moralizing end, with eternal damnation for the foolhardy venturer. Conversely it may have a comic twist, in which a wily peasant outwits the Devil, characteristically on a technical point. Among the credulous, any apparently superhuman achievement might be credited to a pact with the Devil, from the numerous European Devil's Bridges to the superb violin technique of Niccolò Paganini.
2016-05-20 05:01:32 · answer #6 · answered by Anonymous · 0⤊ 0⤋
Occasionally you have to wait for your contributions to catch up. I.e. the employer will contribute the funds 3 months after you contributed. Fully vested means all the required funds that were supposed to be deposited were in fact deposited.
2006-06-20 05:21:11 · answer #7 · answered by Anonymous · 0⤊ 0⤋
An example of being vested at my company is as follows. For anyone who has worked here for one year, but less than two, you can only keep 20% of what the company has matched. For those who have worked here for two years, they can keep 40% of the company match. Three years of service equals 60% of the company match. It takes five years of employment here to be able to take 100% of the company matching funds upon separation from the company (resignation/termination/retirement).
I hope that helps out.
2006-06-20 05:43:42 · answer #8 · answered by Michelle's boyfriend 2 · 1⤊ 0⤋
If you put in x number of years with your company all the company matching funds they have put into your account become yours.
2006-06-20 05:21:38 · answer #9 · answered by AlphaFemale 5 · 0⤊ 0⤋