Core Points - Contributions to a 401(k) are immediately vested and belong to the employee, regardless of employment status [1] - Concerns arise when contributions appear to be missing after a transaction, leading to questions about employer responsibility and potential fraud [2] Group 1: 401(k) Contributions and Management - Employers must adhere to strict regulations under the Employee Retirement Income Security Act (ERISA) regarding the management of 401(k) plans [2][3] - ERISA mandates that employers have a fiduciary duty to manage 401(k) plans responsibly, ensuring timely deposits of employee contributions within 15 business days after payday [3] - Employers are prohibited from misusing 401(k) funds and must implement measures to protect these funds from risks, including cyberattacks [4]

By Jonathan Stempel NEW YORK (Reuters) -The U.S. Department of Labor has been sued by former Morgan Stanley financial advisers for allegedly issuing an illegal advisory opinion sought by the Wall Street bank that could scuttle hundreds of arbitration claims against the bank. In a complaint filed on Tuesday in Manhattan federal court, the plaintiffs said the Labor Department's finding that Morgan Stanley's deferred incentive compensation plan wasn't an employee benefit pension plan under the federal law k ...

You can find original article here Wealthmanagement. Subscribe to our free daily Wealthmanagement newsletter. The U.S. Department of Labor has sided with Morgan Stanley and several FINRA arbitration decisions in a dispute over whether its deferred compensation program should be treated like a pension or a bonus and, if the latter, not be paid if a financial advisor leaves before the end of its vesting period. In an opinion issued Tuesday, the DOL said Morgan Stanley’s deferred incentive compensation prog ...