For Employees

Are you a participant in your company's 401(k) or other qualified retirement plan? Here is what you need to know:


  • You can contribute up to the annual limit each year. If you will be at least age 50 by the end of the year, you can exceed the limit by up to the catch-up limit.

  • Your contributions out of your paycheck are always 100% vested. That means they can never be forfeited or lost to you.

  • If your plan allows it, your contributions can be made on a pre-tax or Roth basis, or a combination of the two. Pre-tax contributions are taxed as normal income when they are paid out in retirement. Roth contributions are made with after-tax money but can be withdrawn tax-free in retirement as long as the first contribution was at least 5 years ago.

  • Once you have met your plan's eligibility criteria, you may stop, start, or change your contributions at any time. Contact the person who handles payroll in your company for help.


  • Generally, money in a 401(k) plan, even your own contributions, can not be withdrawn until you reach age 59½, or until you separate from employment.

  • Most cash distributions are subject to mandatory 20% federal tax withholding.

  • If you are under age 59½, your distribution may be subject to a 10% penalty tax.

  • You have the right to roll over most distributions into an individual retirement account (IRA) or into another qualified plan in order to avoid being taxed on it.

  • Withdrawals due to financial hardship are available in certain limited circumstances.

For More Information

  • See your Summary Plan Description (SPD). If you need a copy of your SPD, ask your plan administrator.

  • Contact us - we may ask for the name of your plan or employer when you call.

Distribution Forms