Question
Lyle joined the Port Dilly pension plan when he was first eligible on March 1, 2005. The plan was a defined benefit program that required
Lyle joined the Port Dilly pension plan when he was first eligible on March 1, 2005. The plan was a defined benefit program that required employee contributions of $100 per month and included a two-year vesting provision. When Lyle terminated his employment on December 31, 2006, his participation in the pension plan also terminated. Upon Lyle's termination from the plan, what is his full financial entitlement under the plan?
Lyle has no financial entitlement and will not receive any money or benefits upon termination.
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Lyle is entitled to a return of his $2,200 of contributions plus a prorated portion of the employer's contributions plus interest.
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Lyle is entitled to a return of his $2,200 of contributions plus interest.
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Lyle is entitled to the full pension benefit that accrued under the plan based on his and his employer's contributions.
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