Plan Overview
This information provides the highlights of the 401(k) Plan. Complete details are available in the Summary Plan Description.
Eligibility and Participation
You’re in right away. You are immediately eligible to participate in the Plan upon your date of hire if you work for a participating employer.
Your Voluntary, Before-Tax Contributions
You can put your own money in the Plan. Your before-tax contributions are made easy with payroll deductions and are typically based on a percentage of your weekly pay. You may contribute up to the maximum amount allowed by the IRS.
If you will be age 50 or older during the calendar year, you can make additional, before-tax “catch-up” contributions above the maximum amount allowed by the IRS, subject to a separate annual limit. Contact Empower at (877) JIB-401K to learn more about these annual limits.
After-Tax (Roth) Contributions: Contributions are also made with easy payroll deductions and the same maximums apply. You may combine before tax and after tax contributions up to the IRS maximums.
Employer Contributions
Your employer may add to your account. If your collective bargaining agreement requires employer contributions, you will receive one or both of the following:
- Direct employer contributions
- HRA excess contributions
Investment Elections
Your money can grow. The way your account is invested depends on the type of contribution.
For before-tax contributions
- Option A – a ready-mixed portfolio
- Option B – mix your own portfolio
For employer contributions
There are no elections. Employer contributions are automatically invested in the Plan’s default fund—the JIB Capital Preservation Fund unless your employer account balance exceeded $50,000 on January 1, 2017 in which case a portion of the amount over $50,000 became available to self direct.
Rollovers
You can put money from a prior plan in this one. The Plan accepts rollovers of before-tax contributions from other qualified plans and traditional IRAs. Contact Empower at (877) JIB-401K for rollover forms and instructions.
Vesting
It’s always yours. You are always 100% vested in the value of your before-tax contributions, employer contributions and any rollover contributions to your account (subject to gains or losses).
Changing Your Before-Tax Contributions
You can change your mind. You may increase or decrease your contributions once a quarter. To do so, obtain a form from your employer and return the form to your employer 30 days in advance of the quarter you’d like the change to occur.
Loans
You can borrow money from your account if you need to. You can borrow against your entire account balance up to the lesser of 50% of your vested balance, or $50,000 less your highest outstanding loan balance from the previous 12 months.
Withdrawals from Employer Contributions
Under certain circumstances and with the approval of the Joint Industry Board, you may make a withdrawal from employer contributions while in active employment. To request a form and for more information, contact the Joint Industry Board.
Distribution of Your Account
You collect when you’re ready. Your vested account balance, minus any outstanding loan balances, will be available to you or your beneficiary upon:
- Retirement
- Total disability
- Death
- Termination of employment
- There is a separate five year Roth anniversary participation requirement to withdraw any Roth balance.
If the vested value is greater than $1,000, you may defer distribution until the April 1 following the year in which you reach age 70½ or until you retire, whichever is later.
Wage Replacement Day Benefit
Construction Division
Click here for the Wage Replacement Days form. Maximum of 6 days per calendar year, which includes Election Day and Juneteenth. If not used, these days do not carry over to the new year. Eligibility for Election Day and Juneteenth is based on the provisions of your Collective Bargaining Agreement.
SIGN Division
Click here for the Wage Replacement Days form. Maximum of 5 days per calendar year. If not used, these days do not carry over to the new year.
The Deferred Salary Plan, also called the 401(k) Plan, provides two ways to help you accumulate retirement income.
- You can make before-tax contributions. Most collective bargaining agreements require a mandatory 1% contribution.
- You may also make tax ‘Roth’ contributions as determined by your collective bargaining agreement.
- You may receive employer contributions as determined by your collective bargaining agreement.
If you make voluntary, before-tax contributions you can choose your own investments from among the Plan’s options. Employer contributions are automatically invested in the JIB Capital Preservation Fund and must remain in this fund unless your employer account balance exceeded $50,000 on January 1, 2017 in which case a portion of the amount over $50,000 became available to self direct.