ABA Family Legal Guide

The Rights of Older Americans

Pensions

401(k) Plans and Simplified Employee Pension Plans

What happens to my contributions after I make them?

The contributions are placed in a fund and invested for your benefit. In some 401(k) plans, the employer controls the investment of 401(k) contributions made by both the employee and the employer. In other plans, employees are given control over the investment of their accounts.