Hunton Bradley Enrollment - Web Book - Ready - Flipbook - Page 4
CONTRIBUTIONS
How much can I contribute to the Plan?
You may contribute between 1 percent and 100 percent of your before-tax pay
in increments of 1 percent. This amount may not exceed the maximum
allowed by the IRS ($22,500 in 2023). If you are 50 years or older, you can also
make “catch-up” contributions of up to $7,500 in 2023.
Your Plan contributions will be automatically deducted from your pay. Pretax
salary deferrals are deducted from your pay before taxes are taken out. This
process of investing on a pretax basis helps you save for the future while
reducing the taxes you pay now.
You also may contribute between 1% and 100% of your pay in after-tax dollars
to a Roth account, which can help you accumulate a nest egg for tax-free
income in retirement. Note that total contributions to both Roth and pretax
retirement savings accounts cannot exceed the annual limits set by the IRS (in
2023, $22,500 for standard contributions and $7,500 for catchup contributions).
PLAN HIGHLIGHTS
Will Hunton Brady Architects, P.A. contribute to my account?
Your Employer may, in its sole discretion, make an Employer Matching
Contribution on your behalf in an amount determined by the Employer. You
must complete at least 1,000 hours of service during the Applicable Period and
be employed by the Employer on the last day of the Applicable Period in order
to receive an Employer Matching Contribution. For purposes of this section,
the Applicable Period for determining satisfaction of service requirements for
an allocation of Employer Matching Contributions will be each Plan Year.
Your Employer may, in its sole discretion, make a Non-Elective Contribution on
your behalf in an amount determined by the Employer. Such contribution, if
made, will be allocated in an amount designated by the Employer to be
allocated to similarly situated eligible Participants. For purposes of this section,
the Applicable Period for determining satisfaction of service requirements for
an allocation of Non-Elective Contributions will be each Plan Year. You must
complete at least 1,000 hours of service during the Plan Year and be employed
by the Company on the last day of the Plan Year in order to receive a NonElective Contribution.
What else should I know about contributions?
Ownership of your Plan account is called vesting. You are always 100% vested
in both your contributions and the earnings on those contributions. This
money is yours.
If contributed, your Matching and Profit Sharing contributions, plus the
earnings on those contributions, are vested based on your years of service
according to the following schedule.
Matching Contributions: Years of Service
Your interest in your Employer Matching Contribution Account and NonElective Contribution Account will vest based on your Years of Vesting Service
according to the following vesting schedule:
Less than Two Years: 0%
Two Years but less than Three Years: 25%
Three Years but less than Four Years: 50%
Four Years but less than Five Years: 75%;
Five Years but less than Six Years: 100%
Six or More Years: 100%
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