Vested benefits are those that an employee has earned and is entitled to receive even if they no longer work for the employer, regardless of the reason for separation. These benefits usually require a certain minimum number of years of service, after which the employee has a non-forfeitable right to them. Therefore, vested benefits are not contingent upon additional service under the plan.

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Vested Benefits

Question 28

Multiple Choice

Vested benefits

A) usually require a certain minimum number of years of service.
B) are those that the employee is entitled to receive even if fired.
C) are not contingent upon additional service under the plan.
D) are defined by all of these.

Correct Answer: