Contributions Limits and Match
The 401(k) allows for both pre-tax and Roth (post-tax) contributions, up to the IRS maximum, which is $19,500 per year for 2020. Employees ages 50 and over can contribute an additional $6,500 per year as a “catch-up” contribution.
If you contributed to another 401(k) prior to starting at loanDepot, you will need to take into account your contributions that year when determining the maximum you can elect for the loanDepot 401(k).
The loanDepot match is contributed pre-tax, and is based on your combined traditional (pre-tax) and Roth contributions. For employees hired following 10/1/2016, the following vesting schedule applies: 1 yr: 25%, 2 yrs: 50%, 3 yrs: 75%, 4 yrs: 100%. You are also 100% vested upon your death, normal retirement, or disability.
Ready to simplify your retirement planning? You can roll over funds from previous employer's retirement plans to keep track of your money in one place.
401(k) rollover form and email it to the
liveWell Team for a signature. You will provide a copy of the completed form to Voya to notify them of the incoming roll-over, and to your previous plan to ensure they have the correct payment details.
Want more guidance? Voya has a dedicated rollover team to assist with the process. They can be reached at 1-866-865-2660
Loans and Withdrawals
If you are an active employee, you may apply for a 401k loan. You can only have one active loan, to a maximum of 50% of your vested account balance up to $50,000. General purpose loans must be repaid in 5 years or less, while loans for the purchase of a principal residence can be paid off over a 15 year term.
If you need your 401(k) funds to cover an immediate and heavy financial need (as defined by IRS rules), you may take a hardship withdrawal. You must be able to provide supporting documentation of the financial need, and the amount withdrawn will be subject to regular state and federal income tax and a 10% early withdrawal penalty.
Refer to the 401(k) Summary Plan Document for the complete plan rules for withdrawals. Email the
liveWell Team for a copy.