Page 21 - Harvard Maintenance Field Ops 2022 Benefits Guide
P. 21
Calendar Year 2022
Benefits Enrollment
401(k) Plan
Harvard ofers employees a 401(k) plan with a company match
designed to help you map out the retirement of your dreams .
Who is Eligible for the 401(k) Plan?
All employees are eligible to participate in the plan as of the irst
month following six months of seniority . Eligible employees can
defer up to 75% of eligible compensation up to the IRS deferral
limits . Participants age 50 and over can contribute up to 100% of
eligible compensation up to the IRS deferral limit plus catch-up.
What is the Company Match and How Does it
Work?*
Harvard’s matching contributions to your account make saving
for retirement easier. On the irst 4% of salary that you save,
Harvard will automatically add $0 .55 for every dollar that you
defer . While you must meet certain seniority requirements for
your company match to become vested, your deferrals are
always 100% yours .
Your company match will begin to accrue as soon as you are
eligible to participate in the plan and your account will be funded
after each pay period along with your deferrals .
* Applies to non highly compensated employees
What Does “Pre-Tax” Mean?
Pre-tax means your savings are deducted form your paycheck
before the government taxes your pay . By participating in the
401(k) plan, you can lower your taxable income and the amount
of taxes you pay throughout the year . You pay no taxes on your
savings until you withdraw them at retirement .
When Can I Withdraw My Savings?
The 401(k) plan is designed to help you save for long-term
retirement needs. As a result, the government sets rules on
when you can withdraw funds from the account . You can begin
withdrawing your 401(k) deferral contributions without penalty at
age 59½ and your entire balance without penalty at age 65 .
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Benefits Enrollment
401(k) Plan
Harvard ofers employees a 401(k) plan with a company match
designed to help you map out the retirement of your dreams .
Who is Eligible for the 401(k) Plan?
All employees are eligible to participate in the plan as of the irst
month following six months of seniority . Eligible employees can
defer up to 75% of eligible compensation up to the IRS deferral
limits . Participants age 50 and over can contribute up to 100% of
eligible compensation up to the IRS deferral limit plus catch-up.
What is the Company Match and How Does it
Work?*
Harvard’s matching contributions to your account make saving
for retirement easier. On the irst 4% of salary that you save,
Harvard will automatically add $0 .55 for every dollar that you
defer . While you must meet certain seniority requirements for
your company match to become vested, your deferrals are
always 100% yours .
Your company match will begin to accrue as soon as you are
eligible to participate in the plan and your account will be funded
after each pay period along with your deferrals .
* Applies to non highly compensated employees
What Does “Pre-Tax” Mean?
Pre-tax means your savings are deducted form your paycheck
before the government taxes your pay . By participating in the
401(k) plan, you can lower your taxable income and the amount
of taxes you pay throughout the year . You pay no taxes on your
savings until you withdraw them at retirement .
When Can I Withdraw My Savings?
The 401(k) plan is designed to help you save for long-term
retirement needs. As a result, the government sets rules on
when you can withdraw funds from the account . You can begin
withdrawing your 401(k) deferral contributions without penalty at
age 59½ and your entire balance without penalty at age 65 .
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