401(k) Plan

Overview

Informatica is committed to supporting your financial well-being — today and tomorrow. The 401(k) Retirement Savings Plan helps you prepare for retirement by offering an easy, tax-advantaged way to save for your future financial needs.

Key advantages include:

Informatica matches 50 cents for every dollar you contribute, up to $6,000 annually with a tiered vesting schedule.
Informatica’s matching contributions are made pre-tax no matter which contribution type you select.
Provides tax savings over current plan year.
Tax-deferred investment growth.
Wide range of investment choices to include target date funds.

Manage your account

Visit Fidelity NetBenefits to enroll or manage your plan account:

Enroll in the plan
Check your balance
Change your contribution rate
Manage your investments
Update your beneficiary
Use planning tools and calculators
Access forms and documents

Enrolling in the 401(k) Plan

You are immediately eligible upon date of hire. As a new hire you are automatically enrolled in the 401(k) Plan within your first 30 days at a contribution rate of 5% of your eligible compensation. You can adjust your contribution rate, investment elections, or opt out at any time by calling (800) 835-5097 or visiting Fidelity NetBenefits. Elections cannot be entered in Workday.

Please note: Interns are not eligible to participate in the 401(k) Plan.

Your Contributions

You may contribute up to 50% of your eligible compensation, up to annual IRS limits. Eligible compensation includes your base salary plus sales commissions or annual bonus. In 2020, the IRS limits allow you to contribute up to:

$19,500 if you are under age 50
$26,000 if you are age 50 or older (which includes an additional $6,500 in catch-up contributions, made as a separate dollar amount election)

These limits include your pre-tax contributions, Roth after-tax contributions, or a combination of both. What’s the difference?

You also have the option of contributing to the plan with after-tax money, up to the maximum 401(k) limit of $57,000.

If you previously made contributions to another 401(k) this year, complete the 401(k) Prior Contributions Form and submit to Payroll to ensure you don’t exceed the IRS maximum. You can roll over your previous employer’s 401(k) plan by completing the Rollover Into Fidelity Form.

Before-tax vs. Roth after-tax

The 401(k) Retirement Savings Plan gives you the flexibility to save for retirement in a variety of ways. You can make pre-tax contributions, Roth after-tax contributions, or a combination of the two.

Before-Tax Contributions	Roth After-Tax Contributions
The money goes into your Plan account *before* taxes are deducted, so you keep more of your take-home pay. Since you don’t pay taxes at the time you contribute, you’ll owe taxes on both your contributions and any investment earnings when you withdraw your money in retirement (when you may be in a lower income tax bracket).	The money goes into your Plan account *after* taxes are withheld. In exchange for paying taxes now, both your contributions and any associated earnings can be withdrawn tax-free in retirement, provided you meet two requirements: At least five years have elapsed since your first Roth contribution. You are at least 59½ or the withdrawal follows death or total disability.
Keep in mind that company contributions are made pre-tax no matter which contribution type you select.

Company Contributions

To support your retirement saving efforts, Informatica matches 50 cents for every dollar you contribute, up to $6,000. There are multiple investment options including target date funds. Informatica’s matching contributions are made pre-tax no matter which contribution type you select.

Here’s how the company match works:

Vesting

Vesting is another way of saying “how much of the contributions are yours to keep when you leave the company.” You are always 100% vested in your own contributions, including any investment gains and losses.

The 401(k) plan will now have a graded vesting schedule for employees hired after 1/1/2017. You become vested in company contributions over time, based on the following schedule:

Your years of service	Your vested percentage
Less than 1	0%
1 but less than 2	25%
2 but less than 3	50%
3 but less than 4	75%
4 but less than 5	100%

Employees hired prior to 1/1/2017 will continue to be 100% vested from day one.

Loans and Withdrawals

The money in your account is intended as a long-term investment to help you prepare for your financial needs in retirement. However, under certain circumstances, you may be able to access money from your account before reaching retirement age.

Provided you meet certain guidelines, you may borrow money from your 401(k) account if the need arises. You may borrow:

A minimum of $1,000
A maximum of either

50% of your vested account balance, or
$50,000 (reduced by your highest outstanding loan balance during the last 12 months)

Remember these rules about borrowing from your 401(k):

You must pay your loan back (plus any interest) within 5 years.

Primary residence loans must be paid back within 10 years.

If you leave Informatica, you must repay your loan in full. If you do not, the remaining balance will be considered a distribution.
You may not have more than one outstanding loan at a time.
Hardship withdrawals may be limited based upon certain circumstances and documents provided.
Loan repayments are made as payroll deductions.

For more information, visit Fidelity NetBenefits or call (800) 835-5097.

Think Before You Act

If you’re considering taking a withdrawal or loan from your plan account, be sure to think about the impact it may have on your financial future.

Taking money from your account now may lead to a smaller savings balance when you retire.
Not only are you taking money away from your retirement savings, but the burden of repaying the loan may make it even harder to get back on track.
If you take a plan loan, you’ll also lose more money to taxes because the interest payments on your loan are made with money that has already been taxed, and it will be taxed again when withdrawn from your account.
If you withdraw pre-tax money from your plan account, in addition to paying current taxes on the money, you may have to pay an additional 10% penalty tax if you are younger than age 59½ or, age 55 if you have retired or left the company.

Tools & Resources

Make the most of your retirement planning by taking advantage of the Fidelity Retirement Calculator.