Investment dictionary

401(K) PLAN

401(k) Plan: translation

A qualified plan established by employers to which eligible employees may make salary deferral (salary reduction) contributions on a post-tax and/or pretax basis. Employers offering a 401(k) plan may make matching or non-elective contributions to the plan on behalf of eligible employees and may also add a profit-sharing feature to the plan. Earnings accrue on a tax-deferred basis.

Caps placed by the plan and/or IRS regulations usually limit the percentage of salary deferral contributions. There are also restrictions on how and when employees can withdraw these assets, and penalties may apply if the amount is withdrawn while an employee is under the retirement age as defined by the plan. Plans that allow participants to direct their own investments provide a core group of investment products from which participants may choose. Otherwise, professionals hired by the employer direct and manage the employees' investments.

  1. 401k plan—k plan translation k plan UKu USu nounu [Cu] FINANCEu TAXu in the US a system in which people who are working are allowed to pay part of their income into an investment...Financial and business terms
  2. 401(k) plan—тж. k plan страх. амер. план к разновидность плана сокращения заработной платы представляет собой сберегательный план позволяющий работнику часть зарплаты до уплаты подох...Англо-русский экономический словарь
  3. 401k plan—страх. амер. k plan...Англо-русский экономический словарь