Got Trouble? We can help.

Do I have a right to retirement benefits?

Retirement benefits can include a pension plan or a "401 k" plan. Although employers usually don't have to give any retirement benefits, if you're one of the lucky workers whose employer has agreed to give retirement benefits, those benefits are protected by very strict federal laws.

What is a 401k plans?

A "401 k" plans (named after section 401(k) of the Internal Revenue Code) is a retirement account that an employer may set up for his employees. While employed, employees may contribute a portion of their pre-tax earnings to the 401(k) account, and those earnings are not subject to income tax until the employee withdraws the money in installments at retirement. Interest and dividends earned by the account are also not taxed until withdrawn at retirement.

In many 401(k) plans, the employer agrees to "match" the employees' contributions to the account.

A 401 k account is "owned" by the employee, and may not be taken away by the employer.

Can my employer refuse to pay me my pension after I retire?

No. That's one area where the federal government has made sure there are good protections. If your employer refuses to pay your pension, you should contact an employment lawyer, that is, an attorney who specializes in employment law, to help you get that pension.

What if I quit or change jobs?

You still don't lose your 401(k) account. That's money that you (as well as your employer) probably put into the plan. But the employer may be able to set reasonable rules about how it will pay the money to you. For example, you might have to wait until a certain date after you change jobs to get your 401(k) money or to transfer the money to another retirement plan.