UA Local 342 Press Releases

ENROLLMENT APPLICATION
Published on Friday, April 22, 2022

CLICK HERE to access the Enrollment Application for 2022

Enrollment applications for the Supplemental 401(k) Retirement Plan, are now available. These applications will take effect with July 2022 hours.

If you would like to enroll or make changes to your existing classification pursuant to the Collective Bargaining Agreement, please use the enclosed application or come in to fill one out in person. No action is required if you are not mak­ing changes or enrolling at this time. The deadline for accepting 401(k) enrollment applications is a postmark date of Tuesday, May 31, 2022. All changes will be effective with July 2022 hours.

Please note: Changes to your Credit Union Deduction (only) can be made at any time and are generally effective the 1st day of the month following receipt of your application. However, if you wish to make a change to your Credit Union Deduction effective June 1, 2022, you must clearly state your wishes on your Enrollment Application, otherwise, changes will take effect July 1, 2022.

Supplemental 401(k) Retirement Plan

This Plan complies with IRS guidelines. Under the 401(k) Plan, an Employee will be given the option of deferring a portion of his or her wages to the 401(k) Plan. However, as explained below, there are certain limits estab­lished by Congress and the Internal Revenue Service (“IRS”) that the Plan must follow.

1. Election to Defer a Portion of your Wages to the 401(k) Plan. You will be permitted to elect a specific amount that you wish to be deferred to the 401(k) Plan. The deferral amounts for 2022 will be: $2.00; $4.00; $6.00; $8.00; $10.00 per hour (subject to the maximum limits summarized in number 2 below). There are also deferral amount options available to members who are age 50 or older, during the 2022 calendar year, in the amount of $12.00 and $14.00 per hour (subject to the maximum limits summarized in number 2 below).  Members who previously elected the $13.00 maximum elective contribution will automatically be increased to the new $14.00 maximum, unless a new Enrollment Application is submitted.

The current enrollment period in which you will be able to elect to change amounts deferred to the 401(k) Plan will take place through May 31, 2022, and will be effec­tive with July 2022 hours. An Em­ployee’s election will remain in place until the next election period. Any deferral amounts will be in addition to the “Mandatory” Employer Con­tribution as referenced in the Collective Bargaining Agreement (such as the Master Labor Agreement).

ALERT: If you previously designated an amount to be allocated to the Supplemental 401(k) Retirement Plan and wish to make a change, A NEW FORM IS REQUIRED and must be submitted no later than May 31, 2022, to make a change effective with July 2022 hours.

2. $20,500 and $27,000 Deferral Limits for 2022 Imposed by the IRS. Pursuant to IRS guidelines, the maxi­mum amount that can be deferred to a 401(k) Plan is $20,500 for the calen­dar year (2022); however, for Employees who are age 50 or older, during the 2022 calendar year, the IRS permits an additional catch-up contribution of up to $6,500 each year. Thus, the max­imum amount that a person age 50 or older can defer is $27,000.  

The Record Keeper, Northwest Plan Services (NWPS), previously Kaufmann and Goble, will monitor your deferrals to ensure that the maximum deferral amounts are not exceeded during the calendar year. Any amounts received in excess of the IRS guideline maximums will be reversed by the Record Keeper and paid to you as wages. When determining deferral maximums, this will not include any “Mandatory” Employer contributions required by your Collective Bargain­ing Agreement. However, since you are the only party who knows the actual number of hours that you have worked and the total deduction that has been remitted on your behalf, you will need to monitor your deferrals to prevent headaches come tax time. Balance can be obtained by logging into your account at www.kandg.com.

3. FICA/FUTA Withheld from Deferral Amounts. Pursuant to IRS guidelines, amounts deferred by an Employee to a 401(k) Plan are subject to Social Security and Medicare with­holdings (“FICA”) and Federal Unem­ployment taxes (“FUTA”). As a result, FICA and FUTA taxes will be deducted by your Employer from the deferral amounts.

4. Investment Options Remain the Same. Your Plan assets will con­tinue to be invested in the same

manner as in the past and you will continue to have the same options available to you. While your state­ments show both a 401(k) balance and Supplemental 401(a) Pension Plan balance, the funds are invested together.

UA Credit Union Deduction

The UA Local 342 Agreements provide for a voluntary UA Credit Union De­duction for active working members.

The UA Credit Union Deduction will be deducted from your paycheck and remitted by your employer, along with your fringes, to the Northern California Pipe Trades Trust Funds for UA Local 342. The Trust Funds Office, in turn, will remit a monthly report with your payroll deduction to the UA Credit Union on your behalf. For example, when you work during the month of January, the January hours are reported to the Trust Funds Office by your employer late in February and transferred in March to the UA Credit Union. As a result, UA Credit Union Deductions will be in your account approximately 45-60 days following the work month.

UA Credit Union Deductions must be designated in flat dollar amounts of $1.00 - $5.00 per hour. Please note: Changes to your Credit Union Deduction (only) can be made at any time and are generally effective the 1st day of the month following receipt of your application. However, during this enrollment period, unless otherwise noted on your application, changes to your Credit Union Deduc­tion will be effective with July 1, 2022, hours. If you submit your form prior to June 1, 2022, and wish to make a change to your Credit Union Deduction effective June 1, 2022, you must clearly state your wishes on your application.

You must maintain an open account with the Credit Union. Should you close your Credit Union account; Voluntary Payroll Deductions will no longer be permitted, and you will be re-dispatched accordingly.