Frequently asked questions about your plan. Here are answers to some common questions about the key features, benefits, and rules of your plan. To learn more about your account log in to netbenefits.com. To review the principal features of your plan refer to your Summary Plan Description (SPD).
When can I enroll in the Plan? You are eligible to participate in the Plan if: • you are employed by the Employer • you are at least 18 years old • and you are not:
adjustments (COLAs) in $500 increments.
What is the Roth 401(k) option? Unlike your traditional, pretax 401(k) deferrals, the Roth 401(k) feature allows you to contribute after-tax dollars, but then withdraw tax-free dollars from your account when you retire, provided the distribution is “qualified”. A qualified distribution is one that is taken after the five taxable year period beginning January 1 of the year for which your first designated Roth contribution to the plan is made (or to a previous plan, if that amount was subsequently rolled over to the distributing plan) AND you turn age 59 ½, become disabled, or die. If you are eligible to make traditional pretax 401(k) contributions, you can also make Roth 401(k) contributions. Your total contributions to the plan (both Roth 401(k) deferrals and traditional pretax contributions) cannot exceed IRS limits, or your plan’s limit, if less. You can obtain additional information regarding Roth 401(k) contributions by accessing the Learn section on NetBenefits. Does the Company contribute to my account? Your employer will make Safe Harbor matching contributions to your account based on your contributions. The amount will equal: - 100% of the first 5% you contribute to the Plan To be eligible for Safe Harbor matching contributions you are required to: • make employee pretax deferral contributions or Roth 401(k) after-tax deferral contributions. The plan will match on the combined total of these contributions up to the matching limit. The Employer may make discretionary profit sharing contributions, if any, on your behalf in an amount to be determined by the Board of Directors. To be eligible for discretionary profit sharing contributions you are required to: • work a minimum of 501 hours or be employed by the Employer as of the last day of the Plan Year When am I Vested? The term “vesting” refers to the portion of your account balance that you are entitled to under the plan’s rules. You are always 100% vested in your: - employee deferral account(s) - rollover account - Safe Harbor matching contributions - and any earnings thereon. Employer profit sharing contributions and earnings will be vested in accordance with the following schedule:
- covered by a collective bargaining agreement - a leased employee - a nonresident alien who does not receive any U.S. source earned income from your Employer The Plan does not cover employees who are residents of Puerto Rico. Once you satisfy these requirements, you will become eligible to participate in the Plan on the first day of the following month. How do I enroll? To enroll in the Plan, log on to Fidelity NetBenefits ® at netbenefits.com, and click on “Register Now.” Follow the easy instructions to enroll online. Please refer to the Enroll Today section of this guide found on page #3. If you do not select an investment mix of your own, your Employer has directed Fidelity to place your contributions and/or loan repayments into a(n) American Funds Target Date Retirement target date fund that most closely aligns with your projected retirement date based upon your birth year. If you would prefer to select your own investments, please contact Fidelity by logging onto www.netbenefits.com and indicate your elections. How much can I contribute? Through automatic payroll deduction, you may contribute either a dollar amount or a percentage between 1% and 50% of your eligible pay on a pretax and/or Roth basis, up to the annual IRS dollar limit (2024 = $23,000). If you select a specific dollar amount, it may not exceed the Plan percentage limits which are based on your compensation. You may change your deferral dollar amount or percentage as applicable. Any changes made would take effect on the next Plan entry date (first day of each month). What are the IRS contribution limits? If you are under age 50, the IRS contribution limit for 2024 is $23,000. What “catch-up” contribution can I make? If you are age 50 or older, or will reach age 50 during this taxable year and have reached the annual IRS Contribution limit or the Plan’s maximum contribution limit for the year, you may make an additional “catch-up” contribution. The maximum annual catch-up contribution is $7,500. In each subsequent calendar year, catch-up contribution limits will be subject to cost of living
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