plan for your future · •by saving with tax-deferred dollars, it means you don’t pay federal or...

401(k)Plan for your Future

Focus Staff

ENROLLMENT

Focus Staff

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Please Note: The information and materials herein are provided for general information purposes only and are not intended

to constitute legal or other advice or opinions on any specific matters and are not intended to replace the advice of a qualified

attorney, plan provider or other professional advisor.

How do you envision your retirement?

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Traveling to dream destinations?

A life of leisure?

Spending time with family and friends?

How much will you need?

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You will need more than you think!

Your income may be fixed

Inflation will affect purchasing

power

Where will your income come from?

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Social Security?

Regular Savings?

Other Investments?

Your

401(k) Plan!

What is a 401(k) plan?

The term 401(k) refers to a section of the Internal Revenue Code that permits deferring taxes on retirement savings deducted directly from payroll.

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The federal government and most

state governments have enacted

policies to permit federal income tax

deferrals to encourage appropriate

savings for retirement.

2 Alternate Contribution Methods

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“Pre-tax”Deferrals

ROTH

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• By saving with tax-deferred dollars, it means you don’t

pay federal or state income taxes on the money you

save until you withdraw it, generally at retirement.*

The interest on the money you put away is tax

deferred, so your nest egg grows faster.

Withdrawals must begin no later than April 1 of the

calendar year following the later of:

The calendar year in which the participant attains age

70½*, or

The calendar year in which the participant retires.

* No pre-tax deferral in PA. In PA deferrals are taxed as they go into the plan, and generally

when distributed, they would be tax free unless they are withdrawn early.

The Pre-taxADVANTAGE

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Without 401(k)Pre-tax

deferrals

ANNUALIZED GROSS PAY $35,000 $35,000

401(k) 0.00 -1,750

Taxable Pay 35,000 33,250

Federal Income Tax -4,789 -4,526

FICA (7.65%) -2,678 -2,678

Conventional Saving Account -1,750 0.00

NET TAKE-HOME PAY $25,783 $26,046

ANNUALIZED SAVINGS: $263

Pre-tax take homeADVANTAGE

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• An alternative method is to contribute into your

401(k) with taxed payroll-deducted dollars.

While you do not currently save federal or state

income taxes, there are benefits at retirement:

Tax-free income at retirement*

No requirement to begin withdrawals

at age 70-1/2

Tax-free income for beneficiaries

* Must meet the following criteria:

• Contributions are invested a minimum of a 5 taxable year period, and

• The participant is either age 59 ½ , deceased or disabled

“ROTH” non-deductible

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Save for your Retirement!

Start as early as you can because

you may be able to save more

money with less money invested!

These calculations are provided for illustrative purposes only, and should only be used as a guideline. They are not representative of past

or future performance and not a replacement for professional financial planning advice. Actual investment results will vary.

Potential for $1 Million By Age 65, Starting at age 30

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You are in control!

You decide how much money to invest.

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It’s deducted

directly from

your paycheck.

You decide how you would

like your money divided

among the investments

offered.

It’s simple.

Who’s eligible?

Individuals who work for Focus Staff for 3 consecutive months

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Employees can enroll quarterly once they reach their initial entry date.

Age Service Hours of Employment

How much can I contribute?

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• Increments of whole percentages:

• 1% - 92%

• For 2019:

• up to $19,000 maximum

• age 50 or over, up to another $6,000 catch-up contribution

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Whose money is it?

• Your contributions are always 100% yours!

• The employer match has a 4 year graded vesting period

How can I access and control MY MONEY?

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• Loans are available.

• Participants may begin withdrawing at age 59½.

• Withdrawals must begin no later than April 1 of the calendar year following the later of:

• the calendar year in which the participant attains age 70½*, or

• the calendar year in which the participant retires.

• Rollovers are available

* For business owners (>5%), withdrawals may not be delayed until the calendar year of retirement.

Start Early, Keep Assets, and Educate Yourself!

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Start Now

Keep your retirement assets for retirement.

Educate yourself!

Complete the simple

enrollment process on your

PC or mobile device

Create and access your account

online at www.paychexflex.com

or

Call Paychex Retirement Services

at 877-244-1771.

Remember to return the Beneficiary Form to employer as soon as possible.

Getting In…Enroll Today With Quick Enroll Online Portal or Mobile App!

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Beginning January 2019Open Enrollment

https://benefits.paychex.com/

Quick EnrollmentOnline Portal or Mobile App

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Follow the direct link from the Paychex Flex dashboard to the new enrollment experience!


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Making changes to your contribution level and investments is simple!

Determine your desired monthly income at retirement

by using the calculations on this page.

Enter contribution percentages and retirement

age and click “Calculate”


Simplified investment strategies based on individual comfort level

Use the default investment

Do it yourself toselect your own investments


For this example, let’s go with the default investment, review, and

then hit “Submit.” Congratulations, you’re done!

It’s that simple!

Manage Your 401(k) Account

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By Phone: 877-244-1771

By Laptop/PC, or any of your mobile devices 24x7

Access online at: https://www.paychexflex.com

Remember: You’re in Control!

https://www.paychex.com/login

plan for your future · •by saving with tax-deferred dollars, it means you don’t pay federal or...

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