401k
New hires areĀ automatically enrolled in the 401(k) Plan at a 6% contribution rate. Your contributions will be deducted from your paycheck appropriate for 2 months after your hire date. You have 30 days to change this contribution rate or opt-out of the auto enrollment feature of the Plan by contacting the 401(k) recordkeeper (Empower).
Your contributions will be invested in the Manning & Napier Target Date fund that most closely matches the year when you expect to retire (target year). You may change this investment option at any time – the plan offers several investment options.
The Company will match equal .25% for each 1% of an Employee Contribution up to a 2% KGPCo match for an 8% Employee Contribution. Match contributions start on the first of the month in which you reach one year of service.
The 401(k) Plan also offers a Roth 401(k) option. Please refer to the KGP Telecommunications, Inc 401(k) Savings Plan Summary Plan Description (SPD) for more detailed information regarding the plan. You can find the SPD in the KPay>Company>Z Benefit Documents and on the Empower website.
To help you stay on track your contributions to the plan will increase by 1% every March. Your contributions will increase by 1% annually until you have reached a maximum contribution limit of 12%. You can opt-out at any time.
By saving on a before-tax basis, you reduce the taxes you pay today and delay paying taxes on the money you save, as well as your account earnings, until you withdraw the money from the plan.
For more information on your 401(k) plan:
- Visit the website, HERE
- Or call, 1-855-756-4738
Vesting Schedule
In addition to your contributions, The Company helps you save by matching the money that you saved based on your level of participation. You vest, or gain ownership, in the matching contributions from The Company based on the vesting schedule below.
Years of Service | Percentage |
---|---|
Less than 2 | 0% |
2 | 20% |
3 | 40% |
4 | 60% |
5 | 80% |
6 or more | 100% |
Annual Limits
You can contribute up to the IRS maximum limit which is $22,500 for 2024. If you are age 50 or will turn age 50 or older in the current plan year, you can contribute an additional $7,500. Keep in mind that these limits are inclusive of both pre-tax and Roth deferrals.
Additional Information