Retirement

The 401(k) plan has an Auto Enrollment feature. Unless you opt out within 30 days of becoming eligible for the 401(k), 5% of your eligible compensation will be deducted on a pre-tax basis from your paycheck each pay period until the end of the calendar year after the year of your first automatic contribution.

If you do not opt out within 30 days of becoming an eligible employee, pre-tax contributions will be deducted from your paychecks beginning shortly after the opt out period expires. You can later opt out or change your future contributions.

If auto enrollment applies to you and you do not opt out, then your pre-tax contribution will increase by one percentage point on each subsequent January 1 but will not exceed 10% of your eligible compensation. If you do not want this automatic increase to occur, you may opt out on your Empower Participant Site.

You can elect to have your deferrals made pre-tax (traditional) or post tax, through a Roth deferral. You can also have your deferral split between the two. The difference between a pre-tax deferral and a Roth deferral is when taxes apply, what is taxed, how long you must hold your account, and when you must begin withdrawals.

• Reduces your taxable income now, through pre-tax deductions from your paycheck. Your money is tax-deferred until you withdraw it.
• You can start making penalty-free withdrawals at age 59 ½.
• You’ll owe income tax on the amount you withdraw, on both your contributions and associated earnings.
• You must start taking withdrawals by age 73. This is called the Required Minimum Distribution (RMD).

• Your contribution is made after taxes are taken from your paycheck.
• You can start taking penalty-free withdrawals at age 59 ½, provided you have held your account for at least five years.
• Qualified withdrawals, including your earnings, are not subject to income tax.
• Unlike pre-tax accounts, there is no Required Minimum Distribution when you turn 73.

Your eligible compensation includes your base earnings (salary or hourly rate), overtime pay and your annual performance bonus. The same deferral you have for your base pay will apply to your bonus payment as well.

In 2025, you can contribute up to $23,500 to your 401(k). This includes both pre-tax and Roth contributions. Any rollover contributions that you make into the plan are excluded from this annual limit. Stack AV’s match is also excluded.

If you are age 50 or over, you can contribute an additional $7,500 in 2025, making your total contribution limit $31,000. Your catch-up contribution eligibility in the year you turn 50. As an example, if you were born in 1975, you are eligible to contribute up to $31,000 beginning on January 1, 2025, regardless of when your birthday falls in the year.

New for 2025: if you are 60-63, you can contribute to the greater of $11,250 or 150% of the regular Age 50+ Catch-Up contribution limit. This means you could contribute up to $34,750.

Stack AV matches 50% of your contributions. There is no limit on the 50% match other than the standard IRS limits. This means that if you contribute the standard maximum for 2025 $23,500, Stack AV will match $11,750. The match is made on every payroll, assuming you have a deferral made for that payroll until the IRS compensation limit it reached.

Stack’s match is always pre-tax, even if you have Roth contributions.

With Stack AV, you are always vested in your own contributions, including your rollover contributions. Stack AV’s matching contributions vest over three years.

Contributions (measured from your hire date)
1st Service Anniverary: 33% vested
2nd Service Anniverary: 67% vested
3rd Service Anniverary: 100% vested

Go to the Empower site to access your account and view a wide array of core investment options available through the plan, including Target Date Funds.

You can also initiate a rollover of another 401(k) into the Stack account. You can contact Empower’s Account team at (888) 737-4480 to assist with any rollovers.