Someone can confirm this but I think employees are vested in the company's 401k matching contribution once they are at AT&T for 5 years OR if they turn 65. My question is do you get the 401k match if you get laid off - oh, I mean surplussed :/ - before either of those milestones are reached?
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It's vest after 3 years, and someone else said an HR rep answered saying you get vested no matter what if surplused. My read on that is that you only risk losing the match by leaving on your own or being fired before 3 years of service.
An exchange is a sale and a purchase. Why do you need to insult people?
This question was specifically asked to our HR contact and the answer is, if you are surplussed you become immediately vested in any matching contributions the company has made, even if you weren’t otherwise vested (normally 3 years).
Please read your SPD, there may be various plans with different vesting dates. Don’t rely on an this board
“ AddonQ OP, yes I know you “exchange” and don’t sell, but are you allowed to convert that cash into another fund? They must be required to track the earnings on the company match until it vests, so I am curious.”
OP, You said Sell. Don’t back peddle now. You have no clue, you must be a T employee.
Non-employee fishing for information, that, or a mo--n.
AddonQ OP, yes I know you “exchange” and don’t sell, but are you allowed to convert that cash into another fund? They must be required to track the earnings on the company match until it vests, so I am curious.
You have it in your 401k you get it simple!
“Addon Q: If you are not yet vested in your company match, are you still able to sell the fund they put that money into?”
By default the “fund” the company match goes into is T.
You can’t sell inside your 401k, you could “exchange” the T stock for something else..
Addon Q: If you are not yet vested in your company match, are you still able to sell the fund they put that money into?
Directly from Fidelity:
You are always 100% vested in your own contributions to the Plan, as well as any earnings on them. You are 100% vested in the Company's matching contributions and any earnings on them after three years of service.
5 years in your vested, most companies work this way.
Yes. Matching contributions are all yours too.
That is what vesting means, getting the company match. You always get the money you put into the account, even if you leave after your first paycheck. https://www.fool.com/retirement/plans/401k/vesting/
Yes, once vested, everything in your account is yours. if not vested you will get a % (3 years is 60%) of the company match. ALL contributions you contributed are always yours and can't be taken from you if you leave the company. There are also certain considerations when getting laid off regarding vesting, that they may add a month/years to make up for it.
I’m <5 years and i have been vested for quite some time… think it was after 6 months you become vested. I entered as a level 1B
Once you are vested it is all yours