man with faucet on his back leaking money Leakage is a term applied to 401(k) plans; namely, themoney left behind in an old 401(k) savings plan when an employeestarts a new job and enrolls in a new 401(k). (Photo:Shutterstock)

To paraphrase the late R&B great Edwin Starr: Leakage – whatis it good for? Absolutely nothing!

But leakage doesn't just refer to water pipes in need of repair.The term can also be applied to 401(k) plans; namely, money leftbehind in an old 401(k) savings plan when an employee starts a newjob and enrolls in a new 401(k).

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