No. of Recommendations: 0
True, these provisions are written into the plan. HOWEVER, 401(k) type plans are often governed by a committee consisting of upper members of a company (at least that's the way we're set up). In plan documents that I've read for company sponsored financial vehicles, I have often seen a clause/paragraph which gives the governing committee substantial leeway in addressing plan issues with individual employees (probably set up as an escape route for special handling of upper level employee types).

Every company and every plan is different, but the general environment around my company is that there is substantial leeway in the various plans (401(k), stock options, deferred compensation, health benefits, etc.) for getting around the "irritation" factor of waiting for entry. In general, you have to be the right person or get ahold of the right document.

You might ask for a full copy of the plan and flip through it. I have been totally amazed at the difference between the babble put out by our employee services group and the way a plan "really" works. Sometimes, the employee services group has just been flat wrong on several key issues.

Keep in mind that I'm not saying that what you've been told is wrong. I'm just saying that reading the right documents can go a long, long, way.

Regards,
LooseChange
Print the post  

Announcements

The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement