Vesting Rules
Vesting Rules is used.
with reference to a pension or profit-sharing plan, certain minimum requirements that must be met before a participant's right to benefits becomes nonforfeitable. Vesting rules include the following:
1. A participant's right to accrued benefits from his or her own contributions must always be 100% vested.
2. A participant's right to normal retirement benefits must be fully vested at normal retirement age.
3. A participant's right to accrued benefits from employer contributions must vest at least according to minimum vesting schedules. Former IRC (check if this IRC provision is current here) §401.
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