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 This lowers your taxable income, and your money is taxed when it’s withdrawn in the future.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.
You can contribute 2% to 75% of your eligible pay* to your 401(k), subject to IRS limits.
Contribute up to $19,500 for 2020 (or $26,000 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.
Sandia helps your savings grow faster by contributing to your 401(k) too.
With our matching contributions, Sandia adds 66-2/3 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 program contribution to your account if you are not eligible for the Sandia pension plan. The enhanced program 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.
The 401(k) plan features many investment options, plus access to planning tools and calculators, education, and guidance from Fidelity.
Fidelity’s eLearning tools help you set financial goals to make the right plan for you. Register on Fidelity’s website, and after you log in, select Tools from the menu.
And that’s not all: Fidelity Investor Centers are located nationwide and available free of charge to all Fidelity account holders. You can meet with a financial advisor who will work with you to review and analyze your 401(k) account and answer your questions.
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.