Question

Vested benefits... Select one or more: a. usually require a certain minimum number of years of service. b. are those that the employee is entitled to receive even if fired. c. are not contingent upon additional service under the plan. d. are defined by all of these answers.

Answer 1

Answer: D. All the answers are components of vested benefits

Explanation:Vested benefit is a financial package that is fully and unconditionally guaranteed to employees once they have fulfilled the agreed upon terms of service. This period of employment may be for a few years or a lot more, but upon reaching said period, all the full benefits accrued on behalf of the employee by the employer becomes legally and unconditionally the employee's.

Vested benefits may be in form of cash, bonds, stock options, health insurance or pensions. Given the above, it is clear how all the options explain vested benefits as; there must be a minimum period of service, the employee is entitled to it even if fired and other additional services has no effect on impact on the guaranteed (vested) benefits.