A provision in pension plans referring to the money contributed by the employer that has been placed in a pension fund and cannot be forfeited for any reason is known as which of the following?

Question

Quizplus · Accepted Answer

Vesting refers to the right of an employee to receive the funds contributed by the employer to a pension plan. Once an employee is fully vested, they have the right to those funds and they cannot be forfeited for any reason. This is a common provision in pension plans and is often referred to as employee vesting rights. The other options are not accurate descriptions of this provision.

A Provision in Pension Plans Referring to the Money Contributed