Sunny works for a company that offers a 401(k) with a 50% match on employee contributions up to 5% of their salary. Sunny has a salary of $65,000 The company has a 3 -year cliff vesting schedule. If Sunny contributes 5% of their salary, how much will the employer contribute annually, and how much will be vested after 2 years?
Answer
A
1 dollars comma 625 employer contribution, 1 dollars comma 625 vested after 2 years
B
1 dollars comma 625 employer contribution, 0 dollars vested after 2 years
C
3 dollars comma 250 employer contribution, 1 dollars comma 625 vested after 2 years
D
3 dollars comma 250 employer contribution, 0 dollars vested after 2 years