Select your state

Investments

Employer 401(k) plan

An employer 401(k) plan is 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 These contributions and any earnings from the 401(k) investments are not taxed until they are withdrawn.

In Minnesota, as in other states, an employer 401(k) plan is a retirement savings plan sponsored by employers that allows employees to save and invest for their own retirement on a tax-deferred basis. Employees can choose to have a portion of their pre-tax salary invested in various investment options, often including a selection of mutual funds. The contributions made to a traditional 401(k) plan, along with any investment earnings, are not subject to federal or state income tax until the employee withdraws the money, typically after reaching retirement age. The specific rules and regulations governing 401(k) plans are established at the federal level, primarily under the Employee Retirement Income Security Act (ERISA) and the Internal Revenue Code. Minnesota does not have specific state statutes that alter the federal framework for 401(k) plans, but state tax laws generally conform to federal tax treatment regarding these retirement plans.

Legal Articles

State Statutes

Individual & Family Legal Plan

As a LegalFix member, you'll get expert legal services from a local law firm that treats you like an important client. Don't wait—be prepared for life's inevitable legal challenges starting today. And ask your employer, credit union, or membership group about preferred pricing opportunities.

Investments

Employer 401(k) plan

Individual & Family Legal Plan

Articles

Minnesota State Code

Minnesota State Code

Investments

Employer 401(k) plan

Articles