You can also contact us toll-free at18664446246to discuss your pension payment options and how each may impact your individual situation. If youre married, your plan may require your spouse to agree in writing to a loan. Some of the new investment options will provide similar investment strategies and risks, but the overall expenses for the investment options will be lower. Ford Motor Company announced an increase in the company match for the Savings and Stock Investment Plan (SSIP) effective July 1, 2012. You may be able to withdraw from your 401(k) account to meet the needs of a real financial emergency. Effective March 27, 2015, Harbor Capital Advisors, Inc. This will be a name change only - the fund manager, investment objective, and fees will remain the same. Once the division is final, your former spouse may choose to take the money in cash, roll it into an IRA or leave the assets in the plan. That being said, many corporations often match a portion of employee retirement plan contributions with company stock, offer employees attractive incentives to purchase company stock either within or outside of retirement accounts, or include stock or stock options as part of employee compensation. How will the STEP or SRI impact my retirement plan? The way the LifePath funds are designed, the further away the target date, the more aggressive the asset allocation, conversely, the closer the date, the greater the emphasis on preservation of capital in the asset allocation. There are two programs under which an employee may be eligible. All other copyrights and trademarks are the property of their respective owners. Please visit our "Fund Commentary" section below for further information on specific funds and/or fund types within the SSIP and TESPHE accounts. Report a concern about FINRA at 888-700-0028, Securities Industry Essentials Exam (SIE), Financial Industry Networking Directory (FIND). Most individual stocks are much more volatile than mutual funds. Additionally, for those Ford employees who are ineligible for a Roth IRA, the Roth feature provides an opportunity to build a tax-free retirement income source. This change is effective September 2, 2015. When you borrow from your 401(k), the money usually comes out of your account balance. This is because a spouse may have the right to a portion of your retirement assets if you divorce. Mainstay Capital Management, LLCwas selected as the winner of the Trailblazer IMPACTTM Award. You may be wondering what to do regarding Ford's announced health plan changes for pre-medicare salaried retirees (if you are retired and not yet 65). You need JavaScript enabled to view it. Webdesign by HollandComputers, Union Structure & Appointed Representatives, Employee Resources - Education and Assistance, Dedication of Eric Barne's Heroes Walk - Lorain Oh. document.getElementById('cloakd36ef0a4694fef9fd2e967b87e4242b2').innerHTML = ''; If you're in debt, or if you get divorced, your creditors or your former spouse may want a share of your 401(k) plan assets. LifePath funds attempt to make decisions about asset allocation based solely on a target date. If you have questions on how this new Roth 401(k) option may be best utilized in your personal situation, feel free to contact us toll-free at 18664446246.
Additionally, for those Ford employees who are ineligible for a Roth IRA due to income limitations, a Roth 401(k) provides an opportunity to build a tax-free retirement income source. The only exception occurs if youre using the money to buy a primary residencethe home where youll be living full time. For further insight read his article penned forForbes,"Why Investment Choices In Your 401(k) Might Change", or contact Mainstay toll-free at 18664446246 to discuss the impact these changes may have on your portfolio. We provide support for our nationwide network of UAW Benefits Representatives (UBRs) who are equipped with the skills and tools to serve our active and retired membership, provide information regarding contractual changes, and solve complex issues. The vast majority of 401(k) plans operate fairly, efficiently and in a manner that satisfies everyone involved. Ford has announced upcoming investment option changes for the SSIP and TESPHE 401(k) plans that will take effect this spring. An investors tolerance for risk and financial goals are other key factors that should largely play a role in determining the investment strategy and asset allocation. CAUTION: Perhaps the biggest risk you run is leaving your job while you have an outstanding loan balance. The IRS limits the maximum amount you can borrow at the lesser of $50,000 or half the amount you have vested in the plan. In many plans, the money is taken in equal portions from each of the different investments. Thats because the federal ERISA law, which governs all 401(k) plans and supersedes state laws governing retirement plans, protects your money from these creditors. This website makes every attempt to ensure accuracy and reliability of the data contained in these documents. In that case, some plans allow you to borrow for 25 years. Ford has announced upcoming changes to the investment options in the Savings and Stock Investment Plan (SSIP). There is a new website for SSIP and TESPHE participants to view and make changes to their plan effective January 5, 2010. With over 20 investment options available, the Savings and Stock Investment Plan (SSIP) for salaried employees and Tax-Efficient Savings Plan For Hourly Employees (TESPHE) are among the best in the country. It is important to analyze this new investment menu, prior to the transferring of assets out of current investment options, to determine appropriate changes for your SSIP or TESPHE account. However, if you owe child support, alimony or federal income taxes, a court may order you to withdraw money from your 401(k) to pay those debts. The ALERT is due to an error which is occurring as a result of a Fidelity fund change within the Plan at the end of the year.
The interest you repay is paid back into your account. Contact Mainstay toll-free at 18664446246 to discuss the impact these changes may have on your portfolio. How will the SRI or STEP impact my retirement plan? Use of any of the content posted on this website without prior written permission from UAW Local 2000 Website Committee is strictly prohibited. Ten of these funds are included in the Ford plan, with 5-year incremental targets from 2015 to 2055, along with a fund targeted as a Retirement Fund. The account is typically aligned with the LifePath fund that most closely matches the year you anticipate that you might begin to withdraw your savings for your retirement. Under the 2015 National Negotiations, Ford Motor Company and the UAW are offering special separation and retirement buyout programs to UAW-represented employees. This new option will be effective April 1, 2014. Their rights, and yours, are spelled out under federal and state law. Your plan administrator also may follow up after the withdrawal to verify that you used the money as you indicated you would in your application. You must call at least 30 minutes prior to the start of your shift. HSA participants currently investing in these funds may continue to do so. In other plans, you may be able to designate which investments youd prefer to tap to put together the total amount. The money you withdraw will not grow if it isnt invested. We wanted to make you aware of several key points involving the transition and offer our assistance: We are offering our assistance during this transition. You may qualify for a lower interest rate than you would at a bank or other lender, especially if you have a low credit score. The Emergency Hotline is the informationresource for hourly and salaried employees if an emergency interrupts business at any facility. To discuss the investment line-up change or how this change may impact your investment allocation, contact us toll-free at 1-866-444-6246. Are you aware of the details specific to your situation? var path = 'hr' + 'ef' + '=';
Mainstay Capital Management, LLC is an investment advisor registered with the Securities and Exchange Commission. HW}W#Z0j-YryU*WJpa )MJJK>}C'H;asr%!o6/~xbnd4S#Xl6/f6aP'>>i&xps&{ m^f`oo'1] R\{; PNl2|z[uMNjg"y#0~0kO94qMc*+R_Ds]toJPGhRT"]KF\l7do3*9%9I$6XU"#,GHQFC?! ? This option will provide all eligible salaried and hourly employees the ability to contribute to a Roth savings feature within their 401(k) plan. Employees are to access this number for the latest information related to a possible business interruption caused by a crisis, power failure, weather, parts shortage, etc. The Reemployment Assistance program is also worthwhile to those younger employees who choose to separate but are not yet ready for full retirement. These changes will take effect on January 1, 2022 and youmust be enrolled by December 15, 2021. Ford Motor Company has announced changes that will impact a specific mutual fund investment option in the Savings and Stock Investment Plan (SSIP) for salaried employees and the Tax-Efficient Savings Plan for Hourly Employees (TESPHE). Effective November 14, 2014, the fund will be closed to new investments and current allocations will transfer to an existing fund in the plan. Are there investment products or strategies I should avoid? The UAW logo is a registered trademark of the UAW and is used with permission. f+Ix0;IPUw,WTv=(;fMS'ft`t3=&yw But whether or not they will be able to force you to liquidate your 401(k) assets to meet your obligations depends on who they are, and the legal routes they take. The Decision Guide offers some suggested steps to help you navigate through the decision process. Our focus of service and assistance includes the areas of Healthcare, Retirement, Life & Disability, and Profit Sharing. Check this page for future updates to the SSIP and TESPHE plans, as well as news that affects Ford employees and retirees. The interest is never deductible even if you use the money to buy or renovate your home. Ford Motor Company announced an increase in the company match for the Savings and Stock Investment Plan (SSIP) effective July 1, 2013. File a complaint about fraud or unfair practices. That depends on where you live, as the laws governing marital property differ from state to state. The investment options that are currently available in these plans are not expected to change initially, but may change over time as part of the regular monitoring process. For the most part, you cannot be forced to use your 401(k) money to pay state and local income, property or other taxes.
If you have questions regarding how these changes may affect your HSA portfolio or your investment option selection within the Ford HSA, do not hesitate to contact Mainstay toll-free at 1 866 444 6246. But if as part of the settlement, the money goes to your children or other dependents, you owe the tax. 816.454.6333. This group has an election period of August 1stthrough October 29th. Are my investments allocated appropriately for this life event? ;3CN-=wG;ni; ZnL^f= )U1g}\+;9oz^a4c0. These options are in addition to the current lump sum withdrawal option. By taking advantage of the lump sum pension payment option, Ford retirees may reduce many potential pension risks including longevity risk due to inflation, tax risk, and mortality risk. Ford is offering special separation/retirement programs to eligible UAW-represented Ford hourly employees company-wide. For your former spouse to get a share of your 401(k), his or her attorney will ask the court to issue a Qualified Domestic Relations Order (QDRO). David Kudla, CEOMainstay Capital ManagementRings the Opening Bell at theNYSE on July 3, 2017, David Kudla, CEOMainstay Capital ManagementRings the Closing Bell at theNasdaq on March 29, 2017. With the addition of this feature, employees will have the flexibility to direct contributions among both types of 401(k) accounts as their current and future tax situation dictates. Mainstay Capital Managements CEO, David Kudla, has spoken and is published on the subject of reducing fees (internal expense ratios) for investment options within 401(k) plans. If youre in debt, your creditorsbusinesses, family or governmentsmay try to collect what you owe. Companies often prohibit contributions for at least six months after taking the withdrawal, and hardship distributions permanently reduce your account balance. Most importantly it will completely eliminate "PBGC risk" - the risk that monthly pension payments are someday reduced by the Pension Benefit Guaranty Corporation. Please contact us to discuss this important topic with one of our Certified Financial Planners before the deadline in two weeks. For instance, one plan may consider a medical expense to be a hardship, but not payment of college tuition. More than a third of the existing investment options will be eliminated and new options will be added to the plan. %PDF-1.5 %
The company match will continue on a pre-tax basis without affecting the pre-tax threshold. Ford Motor Company will drop one of the bond funds currently available to participants in the Savings and Stock investment Plan (SSIP) for salaried employees and the Tax-Efficient Savings Plan for Hourly Employees (TESPHE). >Ford has announced upcoming changes to several of the investment options in the Savings and Stock Investment Plan (SSIP), Tax-Efficient Savings Plan for Hourly Employees (TESPHE), Ford Retirement Plan (FRP), Benefit Equalization Plan (BEP), and the Deferred Compensation Plan (DCP). In addition, you will have to pay taxes on the amount you withdraw, plus a 10 percent penalty if you are under age 59. If thats the case, youll probably have to repay the entire balance within 90 days of your departure. If theres a cash settlement, income taxes will be due on the amount thats taken out of the account. Mainstay does not render personalized investment advice or services or effect, or attempt to effect any securities transactions, on this website. Other changes include the addition, removal, and replacement of various fund options. For more details, read the article on the right New Ford 401(k) Plan Administrator. All rights reserved. PLAN) 800.348.7709, BLUE CROSS BLUE SHIELD DENTAL (DENTAMAX) 800.482.5146, VEHICLE CUSTOMER SERVICE ASSISTANCE 800.392.3673, HUMAN RESOURCES CUSTOMER CENTER 800.248.4444, HUMAN RESOURCES OHIO ASSEMBLY PLANT 440.933.1203, OHIO ASSEMBLY PLANT MEDICAL DEPARTMENT 440.933.1201. Implementation will begin on January 2, 2019.
Account balances and new monies invested (contributions/loan repayments) in the options being removed from the plans will be transferred either to other existing investment options or to the new investment options. Firm compliance professionals can access filings and requests, run reports and submit support tickets. Do not hesitate to contact us toll-free at 18664446246 if you would like to discuss your AICP or Profit Sharing election options. Ford is offering a Special Incentive Program (SIP) to certain Ford salary employees. Ford Motor Company is removing one of the funds in the Savings and Stock Investment Plan (SSIP) for salaried employees and the Tax-Efficient Savings Plan for Hourly Employees (TESPHE). Benefits Information for active and retired UAW-represented Ford workers: Important phone numbers for active and retired workers: National Employee Support Center (NESC): 1-800-248-4444, Ford-UAW Retirement Board: 1-800-829-8833, Handles issues for members that are receiving a monthly pension, Retiree Health Care Connect: 1-866-637-7555. In some cases, the partner who has the larger income will receive a larger share. UAW Local 249 To discuss these changesto the Ford 401(k) plan and how this may impact your current portfolio allocation, do not hesitate to contact us toll-free at. The returns realized in these commingled vehicles are diluted by a rigid adherence to mechanical allocation parameters. In community property states, you and your former spouse generally divide the value of your accounts equally. Please do not hesitate to contact Mainstay toll-free at 1-866-444-6246 with questions regarding this ALERT or for assistance in reallocating your Ford 401(k) portfolio. What makes the SIP a more generous offer by the company, based on historical packages, is the Severance Benefit for years of service. In addition to an earlier change in October, Ford Motor Company will make additional adjustments to the Savings and Stock Investment Plan (SSIP) for salaried employees and the Tax-Efficient Savings Plan for Hourly Employees (TESPHE). !hO*SlvVs
The fees you pay to arrange the loan may be higher than on a conventional loan, depending on the way they are calculated. Health care plans (medical, prescription drug, and dental) will no longer be provided by Ford and must be purchased through a health insurance marketplace. For salaried employees, Ford will continue to match $.80 on the dollar up to 5% of base salary as long as you maintain your payroll contributions throughout the year. NATIONAL EMPLOYEE SERVICING CENTER (NESC) 800.248.4444, OPTIONAL DEPENDENT LIFE INSURANCE 800.843.8184, BCBS TRADITIONAL CARE NETWORK 800.810.2583, AETNA MEDICARE ADVANTAGE PPO 800.663.0885, EXPRESS SCRIPTS PRESCRIPTION DRUG PLAN 866.662.0274, THERAMATRIX (PHYSICAL THERAPY PROVIDERS) 888.638.8786, AUDIONET HEARING PROGRAM (SVS) 877.500.7370, VALUE OPTIONS (MENTAL HEALTH/SUBSTANCE ABUSE) 877.228.3912, RETIREMENT BOARD (PENSION PROBLEMS) 800.829.8833, UNICARE (RETIREE This large number of funds provides ample opportunity to build a well-diversified portfolio for your Ford 401k savings. Each new group will have a 90 day election period in which to make their decision. For those evaluating the SRI or STEP, there are important factors to consider: Mainstay Capital Management is a fee-only, independent investment advisor that can provide a comprehensive Retirement Income Analysis, help evaluate "what-if" scenarios, and assist in making informed decisions concerning any buyout offer. If you have questions about the new Ford HSA or would like to discuss how the HSA can benefit your overall financial plan and retirement savings strategy, contact us toll-free at 1-866-444-6246. No action is required on your part. To discuss this recent fund removal, our insight into the change, or how it may impact your investment allocation, contact us toll-free at 1-866-444-6246. This is accomplished by excellence in communication, research, service, and training.
You wont be ordered to withdraw from your plan to pay now, nor can your account be frozen until you pay the debts. For those evaluating a buyout offer, there are important factors to consider: Mainstay Capital Management is a fee-only, independent investment advisor that provides portfolio management and retirement planning services as well as counsels hundreds of Ford employees on buyout offers. The Roth feature within a 401(k) plan allows employees the flexibility to tax diversify their income sources for retirement by directing savings among designated Roth, traditional pre-tax, and/or after-tax contributions.
In addition, on or about April 24, 2015 the Parnassus Small Cap Fund (PARSX) will be merged with the Parnassus Mid Cap Fund (PARMX). Visit ourIn The Newssection to review recent articles discussing pension lump sum payments or call Mainstay toll-free at18664446246to discuss your personal situation. If you are considering the pension lump sum offer, review MainstaysPension Lump Sum Buyout Programsummary. To discuss the new investment options or how these changes may impact your investment allocation, contact us toll-free at 1-866-444-6246. All eligible participants were provided the option to receive the payment as cash, contribute all or a portion of the payment to the SSIP or TESPHE (deferring all federal income tax withholding), or contribute all or a portion of the payment to a Ford Interest Advantage account.
If no election is made for the AICP or Profit Sharing payout, you will receive your entire payment in cash, incurring a mandatory 25% Federal income tax withholding. All Rights Reserved. You will then select Option #1, Option #1, Option #1, and Option #24 to hear the latest information for Kansas City Assembly Plant. Your action is required to establish new login and security access for your Ford SSIP or TESPHE account. While LifePath funds offer a simple one-stop-solution, we continue to advise participants to avoid these funds and retain the flexibility to proactively adjust their portfolios as needed. The BlackRock LifePath Index Fund family is designed for those participants who wish to base their asset allocation decision on a specific target year. Spousal Stamp of Approval Before you determine whether to borrow from your 401(k) account, consider the following advantages and drawbacks to this decision.