Provident Fund Plan Highlights

401(k) Plan Highlights


Employees, excluding Special Project Employees and specifically named highly compensated employees, who have completed one hour of service during the first month of employment, are eligible to participate in the plan.


Participation in the Plan begins on the date that eligibility requirements are met.

Compensation is defined as your W-2 Wages subject to income tax, including salary reduction contributions.

Participants may defer up to 100% of compensation on a pre-tax basis, up to the maximum (currently $19,000 per year for 2019). Participants age 50 or older may defer an additional “catch-up” amount (currently $6,000 per year for 2019).

The employer may make a discretionary matching contribution. This optional contribution will be allocated to eligible employees who are employed on the last day of the plan year.

The employer may make a discretionary profit sharing contribution with the amount determined annually. This optional contribution will be allocated to plan participants employed on the last day of the plan year.


From date of hire:
a) Employee deferrals are always 100% vested.
b) Employer contributions are vested based on the following schedule.


Years of Service Percentage Years of Service Percentage
Less than 2 0% 4 60%
3 40% 6 100%


You will be credited with a Year of Service for each twelve-month period from your date of employment until the date you terminate employment.


Your account may be withdrawn only in the event of Normal Retirement, Death, Termination of Employment, Attainment of age 59½ and full vesting, and Financial Hardship (see below). Distributions made prior to age 59½ are subject to a 10% excise tax. In the event of death, your beneficiary will receive 100% of your investment account balance. If you are currently employed, have attained age 59 ½, and are fully vested, you may take an in-service distribution, provided the amount exceeds $500. You are limited to two such distributions per year.


Hardship are governed by IRS regulations. They are permitted for immediate and heavy financial need and only for the following events: (a) payment of medical expenses; (b) down payment for purchase of principal residence; (c) payment of post-secondary education fees; (d) to prevent eviction from or foreclosure of primary residence; (e) payment of funeral expenses; and (f) repair damage to principal residence under casualty loss. Your employer must approve hardship withdrawals.


Loans are available in the plan, with the following limitations. The minimum loan amount is $1,000. The maximum loan is the lesser of $50,000 or ½ of vested account balance. A participant may have no more than one outstanding loan at any time. All loans must be repaid within five (5) years, unless the loan is used to purchase a primary residence. The repayment for home loans may not exceed twenty (20) years.


Rollovers or transfers from prior qualified plans are accepted. For specific procedures, contact your Plan Administrator for details.


You will receive an easy to read quarterly retirement account statement with your account details. Access to your retirement account information is available at


You may increase or decrease the amount you are contributing before the beginning of each pay period. You may stop making contributions at any time.


This is a general outline only and does not replace or overrule the Summary Plan Description or Plan Document.