Having access to an employer retirement plan is a huge benefit and is not available for too many employees in the United States. The UU Organizations Retirement Plan (UUORP) is specifically designed to provide access to this benefit to ALL W2 employees at our participating employers, regardless of the number of hours worked. Employees are eligible to participate from the first date of hire to make pretax salary deferral contributions (employEE contributions via payroll deduction).
Some benefits of participating in the UUORP include:
- Employee salary deferral contributions are pretax, meaning they reduce your W2 taxable income by the amount of your contributions for that year. In 2023, employees can contribute up to $22,500 if under the age of 50, and up to $30,000 if 50 and over. These limits are much higher than what you can contribute to a personal IRA.
- Employer plans may also offer more investment options and lower fees than a personal IRA. You will want to compare the investment options and plan fees available in the UUORP with your IRA to see if the UUORP offers you less fees and more investment options.
- If you have also satisfied the Year of Eligibility Service (YOES), you will receive the base employER contribution that your employer has elected on their Employer Participation Agreement (EPA), and you may also be eligible for a matching contribution from your employer. Please ask your employer to share a copy of their EPA with you to see the base contribution % and to also see if they offer a match on salary deferrals.
- Whether or not you elect to make salary deferral contributions, or have qualified to receive the employER base contribution, you will still have access to all of the resources and tools on our recordkeeper's platform, i.e. linking accounts to see a 360 degree view of your financial picture, retirement planning tools, savings tools, student loan payment tools, etc. These tools and resources are free to you where you would most likely have to pay for access to these tools via Mint, Quicken, Personal Capital (acquired by Empower), etc.
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Some participants may be eligible for the Saver’s
Tax Credit.