Spring is just around the corner, Snowflakes! Spring brings us our other favorite season, Tax Returns! As you prepare and file your taxes to meet the April 15 deadline, you might be wondering: How could I have reduced my taxable income and saved money for my current and future expenses? While that question is fresh in your mind, we thought we’d remind you of savings opportunities in our benefit programs.

Maximize Your 401(k) Contributions

Our 401(k) plan offers three different ways to save: 

• Traditional Pre-Tax: Contributions to your retirement account are deducted from your paycheck before taxes and are taxed upon withdrawal during retirement.
• Roth Post-Tax: A Roth 401(k) is an after-tax retirement account, meaning you pay taxes up front and withdraw tax-free during retirement.
• After-Tax: Your contributions are taxed normally, but when you withdraw your principal, it’s tax-free. Earnings on after-tax contributions are taxable when withdrawn from the Plan.  Converting your After-Tax contributions to Roth status allows your earnings to grow and be distributed tax-free if certain requirements are met. This is why Snowflake also offers an automated Roth In-Plan Conversion. 

Visit the 401(k) webpage for more information.

Maximize Your Health Savings Account (HSA) Contributions

If you are enrolled in our Cigna OAP HDHP medical plan, you have the option to participate in a Health Savings Account (HSA) through  HSA Bank. This allows you to set aside pre-tax dollars to cover qualified medical, dental, and vision expenses. 

To help you get started with your Health Savings Account (HSA), Snowflake contributes up to $1,000 if you have single coverage and up to $2,000 if you cover yourself plus one or more dependents. These contributions are deposited in equal installments every pay period and are adjusted for new hires or mid-year qualified life events. 

The IRS limits the amount you and Snowflake can contribute annually. Note: Snowflake’s contribution to your HSA counts towards the annual IRS maximum. For 2024, the limits are: 

• $4,150 for individual coverage
• $8,300 for family coverage (you + dependent(s)
• An additional $1,000 contribution is allowed at age 55+

To increase or change your HSA contribution, please go to your Empyrean account and follow these steps:

1. From the left-hand menu, select ‘Change your current benefits’
2. From the list that shows, choose ‘Change in Health Savings Account’
3. Follow the prompts and click the “change” button on the Health Savings Account benefit
4. Enter your contribution amount
5. Click “I’m done with my selection”
6. Click “Save my election”
7. On the right-hand menu click “I’m done selecting benefits”
8. Now click “Submit my elections” and this will take you to a confirmation screen showing your change has been successfully made and provide a confirmation number

Looking for more help?

SageView Advisory Group, our Snowflake 401(k) consultant, offers personalized planning and advice services to Snowflake employees. Click here for more information on SageView financial services and to learn more about how the process works.

SageView also offers financial education webinars on a wide range of topics. Click here to access recordings of previous webinars.