Page 23 - Venafi - 2021 Benefit Guide - CA
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retirement plan
A 401(k) is a savings and investing Team member contributions
Team member contributions on a pre-tax basis up to 100% of income, to a
plan that gives you a tax break on maximum of $19,500 in the 2021 calendar year (adjusted annually). If you are
50 by the end of the 2021 calendar year, you may make additional pre-tax
money you set aside for retirement. contributions up to $6,500 (adjusted annually). Team members are auto
enrolled at 4%. If you do not make any changes, your contributions will
increase 1% each year until the maximum election reaches 10%.
Contributing to a 401(k) plan may be one of the most important things
you can do to prepare for your long-term financial needs. Being on track Company contributions
to meet your financial goals will provide you and your loved ones peace of Current company contributions are 50% on the first 5% capped at $3,000
mind. A 401(k) plan allows you to contribute a portion of your compensation annually. The company contribution stops once your contribution reaches
per pay period in order to prepare for retirement. If you are already 10% of your pay.
contributing to the 401(k) plan, now may be a good time to increase your
contributions. Contribution changes
You may change the amount of your contribution whenever you like.
What is a 401(k) plan?
401(k) refers to a section of the IRS Code that allows you to save part of your Investment choices
compensation on a Traditional PRE-TAX Basis. This lowers your current Contributions to the Plan are held in a trust account. The plan trustees
taxable income and helps your long- term saving grow faster. You may also regularly review the investment options offered. You can: 1) build a
choose to save part of your compensation on an AFTER-TAX Roth Basis. customized investment portfolio, 2) select an investment option based
Roth contributions are taxed before they are contributed to the Plan. This on your investment style, or 3) select an investment option designed by
allows tax-free growth and distribution contributions and the earnings on experts based on your age and projected retirement date.
those contributions (assuming the contributions have been invested for at
least 5 years and you have reached age 59 1/2). Enrollment
You are eligible to enroll in the Plan if you are 21 or older. Team members
Investment changes are eligible and auto enrolled 30 day from date of hire. Team members
You can switch between investment alternatives as often as permitted can opt out at any time by making a change to their election online. Go to
under the chosen investment. participant.empower-retirement.com/participant/#/login. The first time
you go in, you will need to establish your account. Call 855-756-4738 for
Vesting assistance.
You always own 100% of the contributions you make to the 401(k) and
their earnings. Company contributions, if any, are based upon your years of
service, and vest at 3 years with a 1 year cliff. At the end of year 1, 33% will be
vested. After year 1, 1/36 vests per month for the remaining 24 months. Only
the company match has a vesting schedule.
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