Don’t forget the 401(k)/403(b) match

Kaiser must match your 401(k)/403(b) retirement plan contributions, up to a maximum of 1.25% of your annual earnings.

 

This is rather impressive given that our CBA (collective bargaining agreement) already entitles us to a pension. For simply setting aside money for your retirement, you get additional money from Kaiser (not to mention a smaller tax bill from Uncle Sam).

In order to receive matching 401(k)/403(b) contributions, you must:

  1. Complete 1 year in a benefited position
  2. Contribute at least 2% of your eligible pay to your 401(k)/403(b).

In some instances, Kaiser will fulfill its matching obligation by making a final contribution to your 401(k)/403(b) the following year, before the April deadline to file your tax returns.

See the table for estimates of payout potential.

 

Payout potential of the 401(k)/403(b) match

Wage 1 year* x 5 x 10 x 15 x 20 x 25
$25/hr $650 $3,250 $6,500 $9,750 $13,000 $16,250
$35/hr $910 $4,550 $9,100 $13,650 $18,200 $22,750
$45/hr $1,170 $5,850 $11,700 $17,550 $23,400 $29,250
$55/hr $1,430 $7,150 $14,300 $21,450 $28,600 $35,750
$65/hr $1,690 $8,450 $16,900 $25,350 $33,800 $42,250

*Payout = wage (excluding future raises) x 40 hours/week x 52 weeks/year x 1.25%

 

Contractual language:

Beginning in 2008, and continuing throughout the term of this Agreement, a match program will be established in addition to the performance-based opportunity described above. This program matches 100 percent of the employee’s contribution, up to 1.25 percent of the employee’s salary… All employees with one or more years of employment will be eligible for the Employer contribution programs described above.

 

 

2015 – 2018 CKPU / Kaiser National Agreement, page 60

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