2022 Ensign Benefits Guide

401(k) Savings Plan Building a nest egg for your future takes time. It’s important to set aside money for retirement as early and regularly as you can because the quality of your retirement years could depend on how much you have been able to save. The Company’s 401(k) Plan offers savings and investment tools to help you reach your goals. You can defer up to 90% of your eligible pay, up to IRS limits, with these valuable benefits: • Tax savings on pre-tax contributions • After-tax Roth contributions • Tax-deferred earnings • Company matching contributions • Choice of investment paths • Quarterly account statements • Convenient payroll deductions • Flexibility to change investments & deferrals Who Can Participate? All full-time and part-time employees may join the plan on the first of the month following three months of service. Per diem, on-call and temporary employees are not eligible. You will be sent an enrollment packet by Fidelity, the Plan Administrator, before your enrollment eligibility date. Vesting You always have complete ownership of your plan contributions, company matching contributions and any investment earnings. You become entitled to (are vested in) the Company’s matching contribution at the rate of 25% per year of service, with 100% vesting after four years of service. 28 Retirement Plan Feature Description Your Contributions You can contribute up to 90% of your pay on a pretax basis to the plan, up to the annual IRS limit ($20,500 for 2022). If you are age 50 or older, you may be eligible for an additional “catch-up” contribution ($6,500 for 2022). When you enroll you specify a percentage of your pay. Company Contributions Currently, the Company matches the first 2% of compensation that you contribute at the rate of $0.25 for each $1.00 you contribute. You become entitled to (are vested in) the Company’s matching contribution at the rate of 25% per year of service, with 100% vesting after four years of service. The Company may make a discretionary matching contribution. Roth 401(k) Feature You can save for the future through a Roth 401(k) as part of the 401(k) Savings Plan. Contributions are made with after-tax dollars. You do not get an upfront tax-deduction, as you do with regular pre-tax 401(k) contributions. However, your Roth 401(k) account grows tax-free. Withdrawals from your Roth account taken during retirement are not subject to income tax, provided you’re at least 59-1/2 and you’ve held the account for five years or more. Investing Your Account You direct how your account is invested. You choose from a variety of funds offered through Fidelity, the plan administrator. Questions? For more information about the 401(k) Plan, contact a Fidelity representative at 800-835-5095 or visit www.netbenefits.com.

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