401(k) Plan

{
  "id": "MLC-T-FIN-000002",
  "term": "401(k) Plan",
  "field": "Finance and investing",
  "definition": "An employer-sponsored retirement savings plan that gives employees a choice of investment options, typically mutual funds. Employees who participate in a traditional 401(k) plan have a portion of their pre-tax salary invested directly in the option or options they choose. These contributions and any earnings from the 401(k) investments are not taxed until they are withdrawn.",
  "references": [
    "SEC Investor.gov Glossary"
  ],
  "url": "https://mlchart.com/terminology/finance/401-k-plan/"
}