Intel Employee Benefits
How can I best utilize my Intel employee benefits package?
Intel 401(k) Plan
Free money! That gets most people’s attention. In 2021, you can contribute up $19,500 on a pre–tax or Roth basis into your 401(k), and if you’re age 50 or older, you can contribute an additional $6,500. New in 2021, Intel now matches up to 5% of your salary. For example, if you make $200,000, Intel will contribute $10,000 (pre–tax) to your 401(k), assuming you contribute at least $10,000, too. We encourage you to make the most of Intel’s offer before utilizing any other benefits available to you.
After-tax contributions and mega backdoor Roth conversion
Would you like to contribute more than $19,500 to your 401(k) and convert those dollars to Roth? You can with the mega backdoor Roth conversion, also known as the after–tax Roth conversion. This benefit is relatively new in the 401(k) world and became available to Intel employees in 2020. This feature allows you to make additional after–tax contributions to your 401(k) and convert these contributions to Roth dollars. Watch this video for a more detailed explanation of this benefit.
Diversify your portfolio. BrokerageLink is one of 24 options within your Intel 401(k) plan. This option gives you access to thousands of additional mutual funds not available with the standard plan, including funds managed by Vanguard, PIMCO, and Eaton Vance. Why does this matter? For starters, it allows you to invest in asset classes that would otherwise be unavailable to you in your standard 401(k). This can allow you to increase the diversification of your investments within your 401(k), which may potentially create opportunities to achieve greater long–term returns.
Align your investments with your values. Sustainable Investing, also known as Socially Responsible Investing (SRI), means incorporating Environmental, Social, and Governance (ESG) criteria into the investment selection process. Essentially, it allows you to invest in a way that aligns with your values without necessarily compromising diversification or returns. You can access hundreds of SRI mutual funds and ETFs through BrokerageLink. These options allow you to create a sustainable portfolio within your 401(k).
SERPLUS: Intel’s Deferred Compensation Plan
Reduce your tax bill by thousands! SERPLUS, Intel’s deferred compensation plan, is available to grade Level 10 employees and above. SERPLUS allows you to save a significant amount of money on taxes by reducing the amount of your taxable income. It works similarly to a pre–tax 401(k) plan, and any dollars you contribute can then be invested for growth and used down the road during your retirement. If you are eligible for this benefit, you can defer up to 60% of your salary and 75% of any bonus or commissions.
Intel Restricted Stock Units
Leverage your RSUs. For many employees, stock awards can be a significant portion of total compensation. These awards come in the form of Restricted Stock Units (RSUs). These RSUs become available to you as they vest over time. As the stock shares vest, you are taxed at ordinary income tax rates based on the total value of the vesting shares of stock. Do you typically keep your shares once they vest?
Employee Stock Purchase Plan
Purchase stock at a discounted price. Another fantastic benefit at Intel is the Employee Stock Purchase Plan (ESPP). Twice a year Intel allows you buy up to 10% of your earnings (base compensation, quarterly profit bonus, annual profit bonus, and commissions) in Intel stock at a 15% discount through a payroll deduction. The enrollment period for this benefit only happens in January and July.
Intel offers employees paid vacation time and flexible work options. The company provides opportunities to help employees balance work and life responsibilities. Employees can take advantage of discounted travel perks to make the most of their time away on vacation.
Intel updated its family leave benefits at the start of 2020. A few highlights include:
- Pregnant employees who can’t work can apply for short–term disability coverage for up to 12 months.
- Eligible employees (new mothers and fathers) are able to take up to 12 weeks of paid time off, in addition to qualified pregnancy and family medical options to bond with a new child. This time provides new parents –through birth, adoption, or foster care – with additional time to be together as a family. Additionally, new parents can work a part–time schedule for up to 4 weeks with full–time pay.
- Paid leave (up to eight weeks) is provided for employees so they can care for a seriously ill family member.
To meet employee healthcare needs, Intel has created the Intel Corporation Health and Welfare Plan, which provides employees a range of medical coverage options from high–deductible plans to copay plans with Providence and Kaiser with high premiums.
For employees who want to take a strategic approach to wealth management, we suggest you consider enrolling in a Health Savings Account (HSA). An HSA plan can be especially appealing and Avier can help workers interested in the Intel HSA identify ways they can invest their HSA funds.
Tuition reimbursement is available for job-related degrees or coursework with the Intel Tuition Assistance Program (TAP). Employees can also seek advanced degrees to help further their career at Intel. The company provides support for employees and their families by offering programs that provide tutoring, college coaching, as well as scholarship opportunities.
MORE INTEL INSIGHTS
For more information and advice from our Intel-focused advisors visit our other pages focused on Intel Compensation and Miscellaneous Benefits page, Intel SERPLUS, or Intel 401(k) & Retirement page.
LATEST ARTICLES ABOUT YOUR INTEL BENEFITS
Intel employees can invest more towards retirement using the Intel Mega Backdoor Roth Conversion, also known as the after-tax contribution to your 401(k) plan. We want to help you understand why this is such an amazing benefit Intel employees should consider taking...
The Intel SERPLUS benefit is a deferred compensation plan that has the potential to help eligible employees build retirement assets and significantly reduce your taxbill each year you choose to use it. It works similarly to a pre-tax 401(k) plan in that it each dollar...
The Intel Mega Backdoor Roth Conversion is one of the most amazing benefits that will be available within the Intel 401k plan starting in January 2020. The Intel Mega Backdoor Roth Conversion is officially known as the Intel 401(k) After-Tax Roth Conversion Benefit....
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