Definitions for 401(k)
ˈfɔrˌoʊˈwʌnˈkeɪ, ˈfoʊr-401(k)

WikipediaRate this definition:0.0 / 0 votes

1. 401(k)

   In the United States, a 401(k) plan is an employer-sponsored, defined-contribution, personal pension (savings) account, as defined in subsection 401(k) of the U.S. Internal Revenue Code. Periodical employee contributions come directly out of their paychecks, and may be matched by the employer. This legal option is what makes 401(k) plans attractive to employees, and many employers offer this option to their (full-time) workers. There are two types: traditional and Roth 401(k). For Roth accounts, contributions and withdrawals have no impact on income tax. For traditional accounts, contributions may be deducted from taxable income and withdrawals are added to taxable income. There are limits to contributions, rules governing withdrawals and possible penalties. The benefit of the Roth account is from tax-free capital gains. The net benefit of the traditional account is the sum of (1) a possible bonus (or penalty) from withdrawals at tax rates lower (or higher) than at contribution, and (2) the impact on qualification for other income-tested programs from contributions and withdrawals reducing and adding to taxable income, minus the consequences of capital gains being taxed at regular income rates.As of 2019, 401(k) plans had US$6.4 trillion in assets.

WikidataRate this definition:4.0 / 5 votes

1. 401(k)

   A 401(k) plan is the common name in the USA for the tax-qualified, defined-contribution pension account defined in subsection 401(k) of the Internal Revenue Taxation Code. Under the plan, retirement savings contributions are provided by an employer, deducted from the employee's paycheck before taxation, and limited to a maximum pre-tax annual contribution of $17,500. Alternative employer-provided defined-contribution pensions include 403 and 401, offering higher mandatory limits.

How to pronounce 401(k)?

1. Alex

   US English

   David

   US English

   Mark

   US English

   Daniel

   British

   Libby

   British

   Mia

   British

   Karen

   Australian

   Hayley

   Australian

   Natasha

   Australian

   Veena

   Indian

   Priya

   Indian

   Neerja

   Indian

   Zira

   US English

   Oliver

   British

   Wendy

   British

   Fred

   US English

   Tessa

   South African

How to say 401(k) in sign language?

Numerology

1. Chaldean Numerology

   The numerical value of 401(k) in Chaldean Numerology is: 2

2. Pythagorean Numerology

   The numerical value of 401(k) in Pythagorean Numerology is: 2

Examples of 401(k) in a Sentence

1. Glenn Schorr:

   Getting a company to turn on a 401(k) or a stock plan administration takes time, the good news is that they already have relationships with their target market customer and now it is up to them to convince them.

2. The President:

   See, the bottom line is, I know you like me and this room is a lovefest and I know that, but you have no choice but to vote for me, because your 401( k) s... down the tubes. Everything is going to be down the tubes, so whether The President love me or hate me, The President've got to vote for me.

3. Hattie Greenan:

   [The Employee Retirement Income Security Act] protects 401(k) assets that have been deposited and are fully vested if the employer files bankruptcy.

4. Steven Mnuchin:

   Everybody wants to keep it open. We may get to a point where we shorten the hours, if that's something they need to do, but Americans should know that we are going to do everything that they have access to their money at their banks, to the money in their 401(k)s, and to the money in stocks.

5. Justin McCurry:

   Contribute to your 401( k) and push your withholding up to 8 % or 10 % from 6 % or 7 %, your paycheck doesn't go down a lot when you do, but it will add up a lot down the road because of compound interest.

References

1. ^ Wikipedia
   https://en.wikipedia.org/wiki/401(K)
2. ^ Wikidata
   https://www.wikidata.org/w/index.php?search=401(k)