Overview
Taking steps to ensure your current and future financial security is an important part of your overall well-being. The PGTI 401(k) Savings Plan helps you prepare for retirement by offering an easy, tax-advantaged way to save for your future financial needs.
Key Features at a Glance
Company contributions.
PGTI will contribute to your account, with a weekly match up to 3%.
Current tax savings.
You’ll pay less in income taxes when you make pretax contributions.
Tax-deferred investment growth.
With pretax contributions, your money has the potential to grow faster.
Wide range of investment choices.
Choose how you want to invest your money.
Convenient payroll deductions.
The PGTI 401(k) Savings Plan makes it easy to save for your future.
Eligibility and enrollment
You are eligible the 1st of the month 90 days after your date of hire. If you don’t take any enrollment action — either enrolling yourself or opting out — within 90 days of becoming eligible, you will be automatically enrolled, and 3% of your eligible pretax pay will be invested in the T. Rowe Price Retirement Fund with the target date that is closest to the year you will turn 65. You may change your contribution rate and investment elections at any time by visiting the T. Rowe Price website or calling 800-922-9945.
Your Contributions
You may contribute between 1% and 80% of your eligible pay to your plan account, up to annual IRS limits. In 2023, the IRS limits allow you to contribute up to:
- $23,000 if you are under age 50
- $30,500 if you’re age 50 or older this year (which includes an additional $7,500 in catch-up contributions, made as a separate dollar amount election).
These limits include your pretax contributions, Roth Post-tax contributions, or a combination of both.
Automatic increase
The PGTI 401(k) Savings Plan offers an automatic increase option. With this service, your contribution percentage is automatically increased each year. You can choose the increase amount, the month your annual increase takes effect, and when increases will stop. Sign up on the T. Rowe Price website.
Pretax vs. Roth Post-tax: What’s the difference?
The PGTI 401(k) Savings Plan gives you the flexibility to save for retirement in a variety of ways. You can make pretax contributions, Roth Post-tax contributions, or a combination of the two.
Affordable coverage
that fulfills the requirments of the health care reform law.
Pretax contributions
The money goes into your account before taxes are deducted, so you keep more of your take-home pay. Then, you’ll owe taxes on both your contributions and any investment earnings when you withdraw your money in retirement (when you may be in a lower income tax bracket).
Roth Post-tax contributions
The money goes into your account after taxes are withheld. Then, both your contributions and any associated earnings can be withdrawn tax-free in retirement.*
Note: Company contributions are made to the pretax portion of your account and are considered taxable by the IRS upon distribution.
* In order for Roth earnings to be withdrawn tax-free, you must meet these two requirements:
- At least five years have elapsed since your first Roth contribution.
- You are at least 59½ or the withdrawal follows death or total disability.
Catch up!
It’s not too late to make up for lost time. If you’ll be 50 or older this year, take advantage of the opportunity to contribute up to an additional $7,500 in catch-up contributions.
Company Contributions
To help you reach your retirement planning goals, PGTI will also contribute to your account!
Company matching contributions
PGTI may make discretionary contributions to your account each week, up to 3% of your eligible pay, to support your retirement saving efforts. You must be a participant contributing to the plan to receive this discretionary matching contribution.
If a discretionary company match is made for the week, here’s how it would work:
Meet the match!
Try to contribute at least 3% to take full advantage of the match — otherwise, you may be leaving free money on the table. Log in to your T. Rowe Price account to increase your contribution rate.
Vesting
Vesting is another way of saying “how much of the money is yours to keep if you leave the company.”
You are always 100% vested in your own contributions, including any investment gains or losses on the money, and any rollovers you make from other accounts. You become vested in company contributions over time, based on the following schedule:
| Your years of service | Your vested percentage |
|---|---|
| Less than 1 | 0% |
| 1 but less than 2 | 20% |
| 2 but less than 3 | 40% |
| 3 but less than 4 | 60% |
| 4 but less than 5 | 80% |
| 5 or more | 100% |
Name a Beneficiary
It’s important to designate a beneficiary to receive the value of your PGTI 401(k) Savings Plan account in the event you die before beginning to receive your benefit. As personal circumstances change, be sure to keep that information up to date. Visit the T. Rowe Price website to add or change a beneficiary.
Withdrawals and Loans
The money in your account is intended as a long-term investment to help you prepare for your financial needs in retirement. However, under certain circumstances, you may be able to access money from your account before reaching retirement age. For more information, visit the T. Rowe Price website or call 800-922-9945.
Think before you act
If you’re considering taking a withdrawal or loan from your plan account, be sure to think about the impact it may have on your financial future.
- Taking money from your account now may lead to a smaller savings balance when you retire.
- Not only are you taking money away from your retirement savings, but the burden of repaying the loan may make it even harder to get back on track.
- If you take a plan loan, you’ll also lose more money to taxes because the interest payments on your loan are made with money that has already been taxed, and it will be taxed again when withdrawn from your account.
- If you withdraw pretax money from your plan account, in addition to paying current taxes on the money, you may have to pay an additional 10% penalty tax if you are younger than age 59½ (or, age 55 if you have retired or left the company).
Withdrawals and Loans
The money in your account is intended as a long-term investment to help you prepare for your financial needs in retirement. However, under certain circumstances, you may be able to access money from your account before reaching retirement age. For more information, visit the T. Rowe Price website or call 800-922-9945.
Think before you act
If you’re considering taking a withdrawal or loan from your plan account, be sure to think about the impact it may have on your financial future.
- Taking money from your account now may lead to a smaller savings balance when you retire.
- Not only are you taking money away from your retirement savings, but the burden of repaying the loan may make it even harder to get back on track.
- If you take a plan loan, you’ll also lose more money to taxes because the interest payments on your loan are made with money that has already been taxed, and it will be taxed again when withdrawn from your account.
- If you withdraw pretax money from your plan account, in addition to paying current taxes on the money, you may have to pay an additional 10% penalty tax if you are younger than age 59½ (or, age 55 if you have retired or left the company).
Tools & Resources
Watch this video to get help with your retirement savings strategy.
Before investing, carefully consider the funds’ or investment options’ objectives, risks, charges, and expenses. Call 800-922-9945 for a prospectus and, if available, a summary prospectus, or an offering circular containing this and other information. Please read them carefully. Investing involves risk, including the risk of loss.