Lindley Foods Enrollment - Web Book - Ready (1) - 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.
PLAN HIGHLIGHTS
Will my Employer contribute to my account?
The 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 1000 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.
The 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. You must complete at
least 1000 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 a
Non Elective Contribution. For purposes of this section, the Applicable Period
for determining satisfaction of service requirements for an allocation of NonElective Contributions will be each Plan Year.
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 & Profit Sharing Contributions:
Years of Service
Percent Vested
1
0%
2
20%
3
40%
4
60%
5
80%
6
100%
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