RETIREMENT
Retirement – 401(k)
As a new employee of Gracepoint, you will be able to participate in our 401(k). The 401(k) plan allows you to defer federal income taxes as you accumulate money for your retirement through convenient payroll deductions.
There are many benefits to contributing towards a 401(k) account:
• Gracepoint’s matching contribution (up to 4%) as follows:
100% on first 3% of employee deferrals (what you contribute) 50% on next 2% of employee deferrals (what you contribute)
• Federal income taxes on contributions and on any interest or investment earnings in your 401(k) account are deferred until you leave the company or become 59 ½ years of age for withdraws. • Contributions to the 401(k) are made from pre-tax salary through payroll deductions. • 26 investment alternatives. • Guided Portfolio Services are available free of charge. • Unlimited transfers among interest & investment options through a toll free telephone service or via the internet. • Customer Service is available 24/7.
401(k) Plan Eligibility: Must be 21 years of age. All full-time employees are eligible after 60 days.
Vesting: Employee deferrals are fully and immediately vested. Matching contributions are subject to the vesting schedule below:
The discretionary fund declared by the Board is vested upon length of employment:
Vested %
Less than 2 years of employment
0%
2 years of employment
20%
3 years of employment
40%
4 years of employment
60%
5 years of employment
80%
6 years of employment
100%
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