| A | B |
|---|
| hardship withdrawal | removing funds from account for safe harbor reasons |
| 1099-R | year end tax form used to report distributions |
| reallocation of funds | transaction where TOTAL account balance is placed into new investment funds |
| transfer of funds | transaction where balance in ONE fund is moved into new fund |
| loan | transaction where funds are borrowed from account but repaid with interest |
| Highly Compensated Employee | part who earns more than $110,000 in 2009 |
| Summary Plan Description | document that explains plan rules in easily understood language |
| matching contributions | employer contributions that match a % of the part's contributions |
| discretionary contributions | employer's contributions tied to company profits & not guaranteed yr to yr |
| rollover | moves acct bal from one qualified acct to another to continue tax deferred status |
| Beneficiary | person designated to receive funds at part's death |
| Vesting | Ownership of employer's contributions & related earnings |
| spousal consent | married parts must obtain to elect SLA or LS |
| cliff vesting | part owns 100% of account after fixed # of yrs |
| graded vesting | part owns a progressively increasing % of account over period of yrs |
| ERISA | federal regs that govern qualified plans |
| forfeiture | loss of co contributions if terminated before becoming vested |
| QDRO | court order dividing acct due to divorce |
