Pardon my ignorance, hopefully I am not the only one that does not know this. My employer says that I am 100% vested. What does that mean? Thanks!
Generally, companies will mach(up to a certain percentage) your contributions to your 401k. Fully vested means that the portion of the 401k dollars that are contributed by your employer are now yours. An example: if you contribute $100 and your employer contributes $50, prior to being vested you could only take out the $100 you put in. But after you are vested you can take out the entire amount($150). Hopefully this makes sense and I didn't confuse you even more.
It means that any money your company has contributed to your 401K is yours to keep, even if you were to quit your job tomorrow... At some companies even though they will contribute to your 401K you don't get to keep that money unless you stay there a certain amount of time. Usually a couple of years... Your very lucky, at my job you must work 5 years to be 100% vested... BTW there are different levels of it usually a percentage.. 50%, 60% etc... %'s usually increase w/time
