Definition

401(a) Plan

The Internal Revenue Code section governing qualified retirement plans generally.

Full definition

Section 401(a) sets the general qualification rules for tax-favored employer retirement plans. Both defined benefit and defined contribution plans live under 401(a); 401(h) is an optional sub-account permitted inside qualified pension plans.

Related terms

Section 401(h)

The Internal Revenue Code section authorizing retiree medical benefit accounts within qualified pension plans.

Defined Benefit Plan

A qualified employer plan that promises a specified retirement benefit, typically based on pay and service.

Availability, tax treatment, and plan design depend on the facts and circumstances of the employer, plan document, participant group, and applicable law. 401h.com provides general educational information only — not tax, legal, actuarial, investment, or ERISA advice. Consult qualified tax, legal, actuarial, and plan professionals.