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Author: BSchu Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 76398  
Subject: Vesting in company plan Date: 8/8/1999 9:13 PM
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I work for a company that puts 4% of my gross pay into a mutual fund of my choice. The fund is totally funded by the company. The catch is that if I quit after one year, I can only get 25% of the money that has accumulated in the fund. I get 50% after two years, and so on until I am there at least four years, or 100% vested. My question is-- is this a negotable item. Can the company increase my "vesting" in the fund to 100% before my four years is up. I am trying to come up with a different type of idea to go along with my annual raise/review. I work in the health care field and that area is known for only giving about a 2-4% raise yearly, no matter how well the company does.
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Author: zay34kc3 Three stars, 500 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 12987 of 76398
Subject: Re: Vesting in company plan Date: 8/8/1999 9:46 PM
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My question is-- is this a negotable item. Can the company increase my "vesting" in the fund to 100% before my four years is up. I am trying to come up with a different type of idea to go along with my annual raise/review. I work in the health care field and that area is known for only giving about a 2-4% raise yearly, no matter how well the company does.

this is pretty much non-negotiable for you individually. i assume this is a 401(k) or similar type plan. this is governed by the plan document. any alterations like that (for an individual) would bring the ire of the IRS.

now you could ask them the alter it so that all employees would vest faster. if there is low turnover in your company, this is no big deal. if there is high turnover, well, then they may not be so keen to give away money like that.

zay34kc3

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Author: TicTocMan Two stars, 250 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 13016 of 76398
Subject: Re: Vesting in company plan Date: 8/10/1999 12:24 AM
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<<My question is-- is this a negotable item. Can the company increase my "vesting" in the fund
to 100% before my four years is up. I am trying to come up with a different type of idea to
go along with my annual raise/review. I work in the health care field and that area is known
for only giving about a 2-4% raise yearly, no matter how well the company does.

this is pretty much non-negotiable for you individually. i assume this is a 401(k) or similar type
plan. this is governed by the plan document. any alterations like that (for an individual) would bring
the ire of the IRS.

now you could ask them the alter it so that all employees would vest faster. if there is low turnover
in your company, this is no big deal. if there is high turnover, well, then they may not be so keen to
give away money like that.

zay34kc3 >>

This is only negotiable to a limited extent, these types of programs are very seriously regulated and seem to range from ones similar to yours and to the one I just left that vested after 3 years (but I would have received nothing if I left before the vesting period was up).
One of the points is to keep you as an employee -- it worked for me, I waited until I was vested until I quit (my company put in 7% of my salary) - they got 3 good years out of me and I got a 7% increase in pay.

TTMan

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Author: UUinMN Three stars, 500 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 13042 of 76398
Subject: Re: Vesting in company plan Date: 8/10/1999 2:57 PM
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Apart from regulation, consider your offer from your employer's point of view. You're asking them to make it more attractive to you to quit. This will be very unnappealing to them. In a negotiation, you'd have to give up a lot to get it.

I suggest you just ask for more money, instead. Or more time off, or approval to telecommute one day a week. If they give you any of these, they'll believe that it's less likely you'll quit. So they're more likely to give them to you.

Good luck.

Michael
Who's had dozens of employers


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