After a bit of Google research, I see that this is sometimes a requirement for highly compensated employees (HCEs) such as myself. This is the same language in my employer's 401(k) summary plan description document. As an HCE, I will have worked well over 1,000 hours and will be employed on December 31, 2020.
If, on January 4, 2021, I inform my employer that I am quitting, will I lose my 401(k) match (which will be paid out at the end of January 2021), even though I satisfied the requirements for 2020? Assume that the employer will be paying out the match to all other HCEs who remain employed, are not quitting, and satisfied the 1,000 hour and last day rule for 2020.
In other words, is there another subjective, discretionary "you must also still be employed when we declare/pay your match" requirement that the employer can arbitrarily use to deny me my 2020 match?
I don't see any language in the document to this effect, but it says I am merely "eligible" to receive the match - does this mean the employer can arbitrarily say "nope!" after I quit in early January?
