| / English Dictionary |
401-K PLAN
I. (noun)
Sense 1
Meaning:
A retirement savings plan that is funded by employee contributions and (often) matching contributions from the employer; contributions are made from your salary before taxes and the funds grow tax-free until they are withdrawn, at which point they can be converted into an IRA; funds can be transferred if you change employers and you can (to some extent) manage the investments yourself
Synonyms:
401-k; 401-k plan
Classified under:
Nouns denoting cognitive processes and contents
Hypernyms ("401-k plan" is a kind of...):
pension account; pension plan; retirement account; retirement plan; retirement program; retirement savings account; retirement savings plan (a plan for setting aside money to be spent after retirement)
YOU MAY ALSO LIKE
