What you need to know
Sandia is committed to helping you plan and save for the future.
The 401(k) plan, offered in partnership with Fidelity, provides you with one of the easiest ways to do so, using both pretax and after-tax dollars.
You can also take advantage of several investment options and access to guidance and financial planning services.
This page provides a summary of the plan – you can get more details through HR Solutions.
Your Contributions to Your 401(k)
You have three ways to save: through pretax, Roth, and after-tax contributions to your 401(k).
- With pretax contributions, your money goes into your account pretax. This lowers your taxable income, and your money is taxed when it’s withdrawn in the future.
- With Roth contributions, your money goes into your account after you pay federal and state taxes on the amount contributed. When you withdraw it in the future, it is not taxed – and as long as you meet certain requirements, your investment earnings are not taxed either.
- With after-tax contributions, your money goes into your account after you pay federal and state taxes on the amount contributed. When you withdraw the money, the principal amount is not taxed, but any investment earnings are.
- As you manage your 401(k), consider automatic after-tax conversion. This service provides a simple way to convert your new after-tax contributions to Roth regularly in the NTESS 401(k) Plan. Once you elect this new service, there is no need for any further action from you unless you wish to discontinue future conversions. Log in to Fidelity NetBenefits® at www.401k.com to set up this feature.
- View more information regarding Roth In-Plan Conversion.
You can contribute 2% to 75% of your eligible pay* to your 401(k), subject to IRS limits.
- Contribute up to $23,500 for 2025 (or $31,000 if you’re age 50+) to the pretax or Roth options.
- If you max out your pretax and Roth contributions and you want to save more, you can contribute after-tax, up to IRS limits.
*Eligible pay includes your base salary or wages plus certain variable pay compensation. Refer to the Savings Income Plan Summary Plan Description for more information.
Sandia’s Contributions to Your 401(k)
Sandia helps your savings grow faster by contributing to your 401(k) too.
- With our matching contributions, Sandia adds 66.667 cents to your account for every dollar that you contribute, up to the first 6% of earnings you contribute each pay period.
- In addition, Sandia makes an enhanced contribution to your account if you are not eligible for the Sandia pension plan. The enhanced contribution amount increases with your years of service with Sandia:
-
- In years 1 to 14 with Sandia, you receive an amount equal to 6% of eligible pay* each year.
- At year 15 and above, Sandia’s contribution increases to an amount equal to 7% of eligible pay* each year.
*Eligible pay includes your base salary or wages plus certain variable pay compensation. Refer to the Savings Income Plan Summary Plan Description for more information.
Investing and Managing Your 401(k)
Sandia provides a broad range of investment alternatives from which you can build a diversified retirement portfolio.
View current investment options in your 401(k) Plan.
You also can find detailed information described on NetBenefits® at www.401k.com.
The investment options in the 401(k) Plan fall into three tiers: Target date funds, index options, and active options.
Target Date Funds may be appropriate for someone who wants to be more “hands off” with regard to investing. They are the 401(k) Plan’s Qualified Default Investment Alternative. As such, if you do not make an investment option selection, your contributions will be invested in the Target Date Fund based on the date nearest to your attainment of age 65.
On the other hand, if you consider yourself to have the “Will, Skill & Time,” building your own portfolio by utilizing other investment options might make sense. Tier II offers investment options that are designed to generally track the performance of a stock or bond market index. An index tracks a list of securities (stocks, bonds, etc.) that represent a particular segment of the investment market.
Tier III reflects the 401(k) Plan’s Active Options. These options are managed by investment professionals with the objective of generating investment returns that not only exceed an index, but also cover their higher costs.
For more information, watch these short videos regarding your 401(k) Investment line-up:
Edelman Financial Engines is an independent investment advisor who has been hired by Sandia to help you determine your financial retirement needs and goals, and strategies for reaching those goals.
There are two types of services offered:
Online Advice. Utilize Edelman Financial Engines’ online tools to determine an appropriate savings rate and investment allocation. Currently, Online Advice is available at no cost to Sandia employees.
Professional Management. Partner with a specialist who will develop and implement an investment strategy for your 401(k) Plan account, including ongoing monitoring and adjustments as needed. A fee is charged for this service based upon the balance in your 401(k) Plan account.
To learn more about Financial Engines, visit www.financialengines.com/forSandia or call 877-401-5762.
Get schooled with Sandia’s tools
In addition to the tools and resources offered through Fidelity, Sandia partners with Financial Engines to help you determine your retirement income needs and goals, as well as strategies for reaching those goals, including advice about how to invest your contributions.
You can get online advice or talk with a financial professional.
Learn more at www.financialengines.com/forSandia.
Contacts and Resources
Fidelity
800-240-4015
www.401k.com
Apps
Edelman Financial Engines
877-401-5762
www.financialengines.com/forSandia
Apps
Support for issues big and small
Financial wellness resources support you and your family – at every stage and age.
Quick Tip
Don’t leave money on the table
Consider contributing at least 6% of your earnings to your 401(k). This makes you eligible for the full Sandia match and helps you accumulate greater savings faster.
You are always fully vested in your contributions, and you vest in the company contributions over time.