Retirement Plans - Amazon Simple Storage Service · Earnings $1,000 Deferral Amount $10 $20 $30 $40...
Transcript of Retirement Plans - Amazon Simple Storage Service · Earnings $1,000 Deferral Amount $10 $20 $30 $40...
Retirement Plans Please call 1-888-989-9726 to hear this presentation Passcode: JETBLUE BlueBenefits § Benefits Website: lifeisbetterinblue.com § T. Rowe Price Website: rps.troweprice.com/jetblue § Email: [email protected] § Phone:1-800-466-5062
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§ U.S. Retirement Plan
§ Puerto Rico Retirement Plan
§ Enrollment
§ Eligibility
§ JetBlue Match
§ Vesting
§ Retirement Plus
§ Profit Sharing
Today’s Discussion § Investment Options
§ Loans
§ Hardship Withdrawals
§ In-service Withdrawals
§ Q & A
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The JetBlue Airways Retirement Plan (U.S.)
JetBlue’s 401(k) Plan allows you to contribute: § Either a percentage or fixed dollar amount of your earnings
in pre-tax (Traditional) or post-tax (Roth) contributions § IRS 2013 maximum contribution is $17,500 § Additional $5,500 in Catch-up Contributions for those age 50
and over § Rollover contributions allowed
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JetBlue Deferred Savings Plan (Puerto Rico)
§ Crewmembers can save a percentage of their pay in pretax dollars up to $15,000
§ Additional $1,500 in Catch-up Contributions for those age 50 and over
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Enrolling in Retirement is Easy! Ø Phone: T. Rowe Price (800) 922-9945 Ø Online: rps.troweprice.com/jetblue
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JetBlue Match § Dollar-for-dollar match up to 5%!
1% 2% 3% 4% 5% 6% Earnings $1,000 Deferral Amount $10 $20 $30 $40 $50 $60 JetBlue Match $10 $20 $30 $40 $50 $50
§ Contribute at least 5% to ensure you receive the maximum amount of matching contributions
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Vesting – Matching Contributions § JetBlue match has a 5-year graded vesting schedule
§ One year = 1,000 hours of service in a calendar year
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Retirement Plus
§ 5% of your earnings deposited quarterly
§ More than $18M distributed so far in 2013
§ If you don’t actively participate in the plan, an account will be set up on your behalf
§ To be eligible, Crewmembers must be employed on the last day of each quarter
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Vesting Retirement Plus § Retirement Plus contributions have a 3-year ‘cliff’ vesting schedule
§ One year = 1,000 hours of service in a calendar year
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Profit Sharing
Profit sharing is an annual payment occurs when 15% of pretax profits exceeds 5% of eligible earnings
• For 2012, Crewmembers received .42% of their earnings as Profit Sharing
• You decide! Paid as cash or deposited into your retirement account (vested automatically)
• Must be employed on December 31 to be eligible
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Investment Options
Core investment choices in the retirement plans include:
§ 13 Equity Funds § 2 Fixed Income Funds § 1 Money Market Fund § 12 Target Date Retirement Funds § JetBlue Stock
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TradeLink Brokerage Account § Allows Crewmembers to expand and diversify their investments
beyond those available in the core investment lineup
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Loans through T. Rowe Price § Loan are available from the vested account balance § Must have active employment status § Minimum loan amount
§ $1,000 § Maximum loan amount is the lesser of:
§ 50% of your vested account balance or § $50,000
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Taking a Loan: What you Need to Know § $50 Loan origination fee applies
§ Only one loan can be outstanding at a time
§ Repaying your loan § Loan balances, plus interest, must be paid within 5 years § Primary Residence loans must be repaid within 30 years
§ Initiating a new loan § Once a loan is paid off in full, there is
a 10-day waiting period
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Hardship Withdrawals Acceptable Hardship Reasons:
§ Medical Expenses § Purchase of your Primary Residence § Educational Expenses § To prevent eviction or foreclosure § Burial and funeral expenses § Expenses associated with repairing damage to your
primary residence
Please note: There is a 6-month restriction on contributions following a Hardship Withdrawal
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In-service Withdrawals § Withdrawal from your Retirement Plan for one of
the following reasons: § Age 59½ or older § When taking a withdrawal of your Rollover
contributions § Due to Qualified Military Service
§ No proof of hardship is required
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What you Learned Today § Enrolling in and managing your account is easy through
T. Rowe Price – with a wide array of investment options
§ Most Crewmembers contributing 5% into their Retirement account will receive 10% from JetBlue § 5% Match and 5% Retirement Plus
§ Matching contributions vest gradually over a 5-year period
§ Retirement Plus contributions vest once you’ve reach 3 years of service
§ Loans & Distributions should be a last resort due to the financial implications
Benefits Website: lifeisbetterinblue.com
Your portal for important Benefits tools and plan information What you’ll find online: § Retirement plan details § Videos and Tutorials § Benefits Guide § FAQs, Articles and more!
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§ Learn more by visiting lifeisbetterinblue.com
§ Visit T. Rowe Price to enroll or update your election rps.troweprice.com/jetblue
§ Questions or Suggestions? Email us at: [email protected]
Take Action!
Q&A
If you have additional questions: BlueBenefits § T. Rowe Price Website: rps.troweprice.com/jetblue § Benefits Website: lifeisbetterinblue.com § Email: [email protected] § Phone:1-800-466-5062
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BlueBenefits § Benefits Website: lifeisbetterinblue.com § T. Rowe Price Website:
rps.troweprice.com/jetblue § Email: [email protected] § Phone:1-800-466-5062