Retirement Plan Year Law and Legal Definition

Retirement plan year is a twelve month period designated by a retirement plan for calculating vesting and eligibility, among other things. The plan year can be the calendar year or an alternative period, for example, July 1 to June 30.

The following is an example of a case law referring to plan year:

“The taxable year of a contributing employer need not be the same as the plan year of a defined benefit pension plan to which such employer contributes.” [Lucky Stores v. Commissioner, 107 T.C. 1, 6 (T.C. 1996)].