Vest amount after separation

[Guest username1]

If a person is laid off before company contribution of his money purchase pension plan is fully vested, will he forfait that amount?

[Chester]

It depends on whether or not a partial plan termination has occurred. If a partial plan termination has been deemed to occur, the laid-off employee would become 100% vested. However, if the percentage of employees laid off is less than 20% of the total, this likely would not qualify as a partial plan termination. In that case, the employee would only be vested to what the plan document provides, and would forfeit the non-vested portion of the account balance.

[Guest username1]

Thanks for the answer. Can you tell me

the source of the policy and where I can find them?

[KIP KRAUS]

Your Summary Plan Description should explain the reasons for forfeiture of your benefits. Ask for a current SPD.