Pension Plans: Withdrawal Benefits
Definition of "Pension plans: withdrawal benefits"
Rights of employees who leave an employer with a qualified plan to withdraw their accumulated benefits. With a contributory plan, employees have immediate rights to their own contributions, plus earnings. If they leave the employer, the accumulated money belongs to them. But they are not entitled to employer contributions, unless vested, vesting depends on the terms of the plan, but maximum time limits are set by law. A vested employee who withdraws accumulated benefits upon separation may either pay tax on the amount contributed by the employer and spend it, or roll it over into an individual retirement account (IRA).
Popular Insurance Terms
Insurance company whose corporate charter and bylaws prevent assessment of its policyowners, regardless of how adverse its loss and expense experience may become. ...
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Rate not subsequently adjusted. The rate stays in effect regardless of an insured's subsequent loss record. ...
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Relationship of incurred losses plus loss adjustment expense to earned premiums. ...
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