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Tom has a qualified retirement plan with his employer that is currently considered to be 80% “vested”. How can this be interpreted? 20% of the funds are subject to taxes 80% of the funds are invested in a separate account If Tom’s employment is terminated, 20% of the funds would be forfeited If Tom’s employment is terminated, 80% of the funds would be forfeited

Tom has a qualified retirement plan with his employer that is currently considered to be 80% “vested”. How can this be interpreted?
20% of the funds are subject to taxes
80% of the funds are invested in a separate account
If Tom’s employment is terminated, 20% of the funds would be forfeited
If Tom’s employment is terminated, 80% of the funds would be forfeited

 
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