Glenmore Members, take advantage of your 401K!

Don’t leave money on the table, take full advantage of your union negotiated 401K contributions

We believe that everyone has a right to retire. Your union contract guarantees you have employee rights and benefits such as wage increases, job protection, a safe workplace and retirement benefits. Your 401K benefits need attention to make sure you aren’t leaving money on the table for the company to keep. You’ll want to keep reading for some important advice.  

The secret to a good retirement is to set money aside out of each paycheck, before it is taxed, during your working years. You will also want to check your union contract to see if your employer also contributes money to your 401K. It’s important to let the power of time and compounding interest work to help your retirement nest egg grow.

Your UFCW 227 negotiated 401(k) plan is the perfect way to do this. The 401(k) plan available to UFCW 227 members at Glenmore allows you to conveniently save money directly out of your paycheck on a pre-tax basis before income taxes are withheld. Saving for retirement on a pre-tax basis not only helps reduce your income taxes today, but it helps boost your account by allowing you to postpone paying taxes on the money you save and on the growth of your 401(k) account until you start taking money out at retirement. 

Article 16 Section 101 of your union contract states

Since those percentages might make your eyes glaze over, 12% if you are a new general helper at 40 hours a week would be about $5,300, 75% of that is $4000. So you could be saving over $9,000 a year for your future retirement and getting more money for your hard work! If you aren’t participating in the 401K, you could be missing out on thousands of dollars. 

While it is never too late to start saving for retirement, if you want to have a lot of money in your account when you retire, it’s more important to start saving as early as you can rather than waiting until you’re older and can save a lot. This real-world example below helps make this point.

So what could $9,000 a year in your 401K do for your future? 

In a Forbes article 5 Ways To Become A 401(k) Millionaire

“ if a 35-year-old investor invests $10,000 annually for 30 years in a 401(k) at a 7% annual return, that investor would have approximately $1.02 million at age 65.”

The dream of retirement is within reach for you and your family, to make sure you are taking full advantage of this union benefit ask your Union Stewards how to enroll in your 401K today!