Parkinson's 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 Parkinson's Foundation, Inc. contribute to my account?
Your Employer may make a Discretionary Match or Employer Non-Elective
contribution to your account.
In order to maintain “safe harbor” status, Parkinson’s Foundation, Inc. will
make a contribution equal to five percent (5%) of your compensation.
What else should I know about contributions?
Ownership of your Plan account is called vesting. You are always 100% vested
in the contributions and the earnings on those contributions for the
contribution sources listed below:
• Employee Deferrals (both Pre-tax and Roth)
• Safe Harbor
• Employer Discretionary Match
• Employer Discretionary Profit Sharing
• Rollover
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