401(k)

Saving for the future takes focus and planning. When it comes to achieving financial security, set-it-and-forget-it is not an option. Whatever your ultimate retirement goals are—lots of travel, starting a new business, doting on your loved ones—take full advantage of your benefits to help you get there.

Who is eligible and how to enroll:

All U.S. Acme employees are eligible on their first day of work. Within 60 days of your hire/rehire date, all employees will be automatically enrolled in our 401(k) plan.

You may choose your own contribution rate and investments.
If you don’t choose a rate or specific investments prior to your first payroll deduction, you’ll be automatically enrolled at 6% in a Vanguard Target Retirement Trust based on your age.
Through Vanguard’s One-Step Save Program, your contribution will be automatically increased by 1% every March.

Participation is voluntary. Visit vanguard.com to:

Opt out within 60 days of your hire date, or any time thereafter
Change how much you contribute to the plan
View and manage your account

You can also enroll by calling 800-555-1234. The plan number is 01234. Please note: It can take 7-10 days from your hire date for your information to become available in Vanguard’s database.

The Vanguard 401(k) website can also help you make the right decisions for you.

What you can contribute:

You can elect to defer 1% to 65% of your eligible pay. Pre-tax and/or Roth after-tax contributions are subject to a $19,500 annual IRS limit.

If you are age 50 or over, you may contribute an additional $6,500 in catch-up contributions. In addition, you may elect to defer up to $29,800 in traditional after-tax contributions.

If you made contributions to a 401(k) with a previous employer this year, those contributions count toward your IRS annual limit. Monitor your total contributions to avoid over-contributing. If you believe you have exceeded the IRS limit, contact Vanguard at 800-555-1234 to process a refund.

Matching contributions:

To help your savings go even further, Acme matches 50% of the first 6% that you contribute as regular pre-tax and Roth 401(k) after-tax salary deferral contributions each pay period. That means that for each $1 you contribute to your 401(k), Acme will contribute 50 cents, up to 6% of your eligible pay. If you contribute more than 6% of your annual pay, our match is 3%.

Your investment options:

You can choose a Target Retirement Trust, which chooses the level of risk in your portfolio based on an estimated retirement age of 65, or you can create your own portfolio by selecting from our lineup of Core Investment Funds. Learn about your investment options.

To register your account:

Log on to your retirement plan account at com/retirementplans.
If you have multiple accounts at Vanguard, select Employer plans.
Select Manage my money.
Select Manage my brokerage option.

Consult a Vanguard advisor at 800-555-1234