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What is the Microsoft Deferred Compensation Plan?

Nick Wright , Employee Benefits, Microsoft

The information about the Microsoft Deferred Compensation Plan has been updated for 2023. Reduce Your Tax Bill Utilizing Microsoft DCP (Deferred Comp Plan) The Microsoft Deferred Compensation Plan (DCP) is available to employees who are Level 67 and higher. Eligible Microsoft employees can enroll annually during May and November. Your DCP contributions reduce taxable income in the year of the deferral. Many employees are able to reduce their tax bill by tens of...

How Much Should I Contribute to My Health Savings Account (HSA)?

Aaren Strand , Employee Benefits, Financial Planning

What is a Health Savings Account (HSA)? Health Savings Accounts (HSA) allows you to use pre-tax income for eligible medical expenses. It is linked to a high-deductible health plan (HDHP) and is intended to cover the out-of-pocket costs. The HSA is a tax-advantage savings account and provides you with more control over how your healthcare dollars are spent. Who is Eligible to Enroll in an HSA? To be eligible for an HSA you must meet the following requirements: You...

How does the Amazon Mega Backdoor Roth Conversion work?

Lars Phillips , Amazon, Employee Benefits

2023 Updates for the Amazon Mega Backdoor Roth In 2023, Amazon employees can contribute thousands to a Roth using the Mega Backdoor Roth provision within the Amazon 401(k). The Mega Backdoor Roth allows you to contribute after-tax dollars, up to the federal limit, and then convert those dollars to Roth. The 2023 federal contribution limits for 401(k) plans are: $66,000 if you’re under 50 $73,500 if you’re 50 or older If you are already contributing the maximum...

The Nike Mega Backdoor Roth: How Does it Work?

Alex Krider , Nike

In 2023, Nike employees can contribute thousands to a Roth using the Mega Backdoor Roth provision within the Nike 401(k). The Mega Backdoor Roth allows you to contribute after-tax dollars to your 401(k) and then convert those dollars to Roth. If you are already contributing the maximum amount to your Nike 401(k), this is a fantastic way to save even more for retirement. In our opinion, the Mega Backdoor Roth is one of the best employee benefits available to Nike...

Microsoft Mega Backdoor Roth Conversion

Nick Wright , Employee Benefits, Microsoft

How does the Microsoft 401(k) and Mega Backdoor Roth Work? In 2023, you can contribute up to $66,000 if you’re under 50 and $73,500 if you’re 50 or older to your Microsoft 401(k). You can fully leverage these limits by taking advantage of the Mega Backdoor Roth – a powerful benefit within your Microsoft 401(k). You can use the following features within your 401(k) to reach the federal limit: Pre-tax or Roth contributions Microsoft employer match After-tax...

What is the Meta 401(k) Employer Match?

Angela Sorensen , Employee Benefits, Meta / Facebook

The information about the Meta (Facebook) 401(k) has been updated for 2023. Your Meta 401(k) is a retirement savings plan that allows you to invest a portion of your salary into long-term investments and save for retirement. Your contribution and the Meta match are 100% vested from day one with the company. 2023 Meta 401(k) Basics Your 401(k) contributions increased in 2023. If you’re under 50 you can contribute up to $22,500 and if you’re 50 or older you can...

What is the Meta Mega Backdoor Roth?

Angela Sorensen , Employee Benefits, Meta / Facebook

This information for the Meta Mega Backdoor Roth has been updated for 2023. In 2023, Meta employees can contribute thousands to a Roth using the Mega Backdoor Roth provision within the Meta 401(k). The Mega Backdoor Roth allows you to contribute after-tax dollars to your 401(k) and convert those dollars to Roth. The 2023 federal limits for 401(k) contributions are: $66,000 if you’re under 50 $73,500 if you’re 50 or older You can fully leverage these limits...

How Does the Mega Backdoor Roth Help You Save for Retirement?

Alex Krider , Employee Benefits, Financial Planning

In 2023, you can potentially contribute thousands to a Roth using the Mega Backdoor Roth provision within your 401(k). The Mega Backdoor Roth allows you to contribute after-tax dollars to your 401(k) and convert those dollars to Roth. The 2023 federal limits for 401(k) contributions are: $66,000 if you’re under 50 $73,500 if you’re 50 or older The Mega Backdoor Roth is available at companies like Microsoft, Amazon, Meta, Nike, Intel, Google, VMware, Boeing, and...

What Should I Do With My Amazon Restricted Stock Units?

Lars Phillips , Amazon, Employee Benefits

Amazon employees typically receive restricted stock units (RSUs) as part of their compensation package, and for many, these RSUs can make up a large portion of their total compensation package. When Do My Amazon RSUs Vest? The total amount of on–hire RSUs you will receive is determined when you are hired. These RSUs will vest over the first four years of your employment. For the first two years of your employment, RSUs are distributed at the end of years one and...

What Happens if Your Plan Doesn’t Go According to Plan?

Dave Welty , Financial Planning

Financial advisors have a seemingly simple job – help their clients reach their financial goals. However, once you go beyond just goal setting, you will quickly find that the “planning” part of financial planning is not a static job. No matter how committed one is to their financial goals, a plan that does not account for the unexpected can often fall short of allowing one to achieve these goals. In my years of financial planning, financial resilience has become...

Are You Making the Most of Your Intel SERPLUS Benefit?

Alex Krider , Employee Benefits, Intel

Updated for 2022. SERPLUS, Intel’s deferred compensation plan, can help eligible employees significantly reduce their tax bill while building retirement assets. Grade level 10 or higher Intel employees are eligible to enroll in SERPLUS. How Does Intel’s Deferred Compensation Plan Work? SERPLUS works similar to your pre-tax 401(k). Contributions into SERPLUS reduce your taxable income on a dollar-for-dollar basis. Unlike the 401(k), though, it’s worth...

Your Nike Stock Decision: Restricted Stock Units and/or Stock Options?

Angela Sorensen , Employee Benefits, Nike

Every August, Nike employees must make an important decision on how to receive their annual stock award Eligible employees can choose between 100% Stock Options, 100% Restricted Stock Units (RSUs), or a 50/50 mix of Stock Options and RSUs. Typically, you are offered more shares if you choose Stock Options over RSUs. In 2022, the ratio of Stock Options to RSUs decreased from 5:1 to 4:1. Meaning you receive 4 Stock Options for every one RSU. This doesn’t mean...