Retirement Plans

Banner Health’s 401(k) and 403(b) plans offer eligible employees the opportunity to set aside money in a pre-tax retirement plan without a waiting period.

Banner has partnered with Fidelity Investments as our provider of investment options, and recordkeeping services for the retirement plans. Fidelity is the nation's largest mutual fund company with $973 billion under management for more than 16 million investors.

• Maximum Salary Deferral  
• Immediately Vested
• Enroll and Make Changes 
• Loans are Available
• Accounts are Valued Daily
• Summary Plan Description

Maximum Salary Deferral

The maximum employee salary deferral (contribution) is the lesser of 100 percent of your annual pay or $17,500.To calculate your maximum allowable percentage, divide $17,500 by your projected annual salary.

If you will be age 50 by Dec. 31, 2013, your 2013  limit is $23,000.  To calculate your maximum allowable percentage, divide $23,000 by your projected annual salary.
 
The IRS has set a $255,000 limit on  401(k) and 403(b) eligible salary. In order to receive the maximum employer match (401(k) only), your contributions must run for all 26 pay periods during the year. If you do not have a contribution during any pay period, no employer matching contribution will be made.

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Immediately Vested

Some companies require their employees earn the right to keep contributions the company has made to their retirement plan by working for the company for a certain number of years. This is called vesting.  Banner has no vesting requirements. You are always 100 percent vested in your and Banner Health’s contributions to the plan. In other words, you will always have ownership of the contributions you and Banner make to your retirement plan account. 

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While the retirement plans should be considered a long-term investment, you will have the ability to request a loan. The minimum amount you can borrow is $1,000, and you can have two outstanding loans at a time. Generally, you may borrow the lesser of 50 percent of your balance or $50,000.  Any outstanding loan balances over the previous 12 months may reduce the amount you have available to borrow. Loan repayments (plus interest) to your plan account are paid back through electronic bank draft.  No loan may be written for longer than five years.

In addition, you may take in-service withdrawals on any after-tax contribution account. These after-tax contributions continue to be recorded as after-tax contributions on your account statements while your 401(k) deferral amounts are recorded as pre-tax.
 
For more information about loans, please review the Loan Policy.

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Accounts are Valued Daily

You are able to access up-to-date information about the value of your investments and make transactions  on any business day, and every transaction is confirmed. Every three months, Fidelity will send you a detailed statement of your balance, account activity, and your personal rate of return.

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Summary Plan Description

Detailed information on this benefit such as eligibility, plan coverage, limitations and contact information can be found in the Summary Plan Description (SPD).

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