TRA offers a variety of 401(k) plan solutions and investment options to help employers and investors meet their needs. To find out which options are best for you, complete the form below and a TRA representative will be in contact with you.
Each employee participating in the plan determines how much money is to be automatically contributed from each paycheck. Generally, participants can invest an annual maximum of $18,000 in 2017, or $24,000 for those 50 or older.
* Withdrawals from Roth accounts are tax- and penalty-free if the account was established at least 5 years before, and if the participant is at least 59½ years old, disabled or deceased. For non-qualified distributions, earnings are taxable and may be subject to a 10% early withdrawal penalty.
The investments available in the plan — the most common options are mutual funds — are determined by the employer, who may get help from the plan's financial professional or a third-party fiduciary. Participants can decide which of the options to use.
Objective-focused — Funds of funds that are based on investment objectives like preservation, balance and growth.
Customized — Investors can build an investment portfolio of American Funds (excluding tax-exempt funds) to meet their specific preferences and needs.
As an added incentive for their employees to invest, some employers make “matching” contributions to participant accounts. Some employers match employee contributions dollar for dollar, while others contribute a percentage of what employees contribute. Employers may also make discretionary contributions into participant accounts.
Participants always own 100% of their salary-deferral contributions. With employer contributions, participants often become vested over time.
Distributions from 401(k) plans are generally allowed at age 59½ or in the case of disability. However, plans may allow ways to access 401(k) money early
There are a number of options an employee can take when leaving the job:
To learn more about your options, complete the form below and a TRA representative will be in contact with you.