Guest Amy Harle Posted October 2, 2002 Posted October 2, 2002 Can prior service be included for eligibility purposes and excluded for vesting purposes? Or are they tied together?
david rigby Posted October 2, 2002 Posted October 2, 2002 Uh....... Please provide a little more detail in your question, especially what you mean by "prior service." I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.
Guest Amy Harle Posted October 2, 2002 Posted October 2, 2002 Sorry...Company A purchases Company B...so in this case prior services means service w/ Company B. Company A wants the "B" employees to be eligible for the "A" 401(k) right away, but they're not so sure they want them to get credit for vesting...
E as in ERISA Posted October 2, 2002 Posted October 2, 2002 Did Company B have a plan? If so, what happened to it (e.g., was it terminated prior to the transaction, is Company A maintaining it, or is it merged into Company A's plan)?
Guest Amy Harle Posted October 2, 2002 Posted October 2, 2002 Company B's plan is terminated. Was a SIMPLE 401(k).
BFree Posted October 2, 2002 Posted October 2, 2002 Our prototype allows you to apply them separately.
E as in ERISA Posted October 2, 2002 Posted October 2, 2002 As long as Company A's never maintained Company B's plan, then you can generally ignore the prior service for vesting.
Recommended Posts
Archived
This topic is now archived and is closed to further replies.