what are withdrawal credits pension plan 
a withdrawal credit in a pension plan refers to the portion of an individual s retirement assets in a qualified pension plan that the employee is entitled to withdraw when they leave a job understanding withdrawal credits pension planin the context of pension plans withdrawal credits describe the rights of an employee participant in a qualified pension plan to withdraw their portion of assets plus a share of employer contributions if applicable upon their departure from that job under most pension plans employers make periodic contributions some may allow additional contributions by the employee to a fund shared by all eligible employees each individual has an account within that fund and multiple employers may participate in a single pension fund when an eligible employee reaches retirement age they are entitled to periodic distributions that generally equal a percentage of their income in pre retirement years an employee who leaves a firm before retirement age would likely be eligible for a partial distribution of their pension funds depending on the vesting rules established by the employer and the plan withdrawal credits pension plan prior to retirement