2014 Payroll & 401(k) Information

2014 COLA limit

The IRS announced on October 31, 2013 cost-of-living adjustments applicable to dollar limitations for pension plans and other items for tax year 2014.


For 401(k) 2014

  • Maximum elective deferral by employee $17,500
  • Catch-up contribution (age 50 and older during year) $5,500
  • Employee annual compensation limit for calculating contributions $260,000


Social Security taxes

  • Earnings subject to Social Security taxes will be capped at $117,000 in 2014, compared to $113,700 in 2013.


Medicare Surcharge Tax

  • For earnings in excess of $200,000 in a calendar year will have an additional 0.9% Medicare Surcharge Tax. The additional Medicare tax withholding will begin in the pay period in which the employee’s wages exceed $200,000 and continue until the end of the calendar year.


PAYROLL

Timesheets: Submit your timesheets weekly, by Friday. The Location Fields should define where the Employee has physically performed services for Capco, not where the Project is located. This reporting enables Capco to correctly report taxable wages for each applicable State in which the Employee has worked during the year.


2013 Year End W2: Will be mailed out by January 31st, 2014.

Any changes to your Federal and/or State Withholding should be made via the ADP Employee Self Service portal. Please follow instructions on the ADP site. Once you log in go to the ‘Pay & Taxes’ Tab, click on the ‘Tax Withholding’ link.


Paydates: There are 24 pay periods in the year (Semi-monthly cycle): Paydates are the 15th and the 26th. If the 15th or the 26th falls on a weekend or a holiday, payday will be on the business day before the holiday or weekend. The 15th cycle covers from the 1st through the 15th. The 26th cycle covers from the 16th through last day of the month.

401(k)

Catch-Up: If you are age 50 or over by the end of the calendar year and have reached the annual IRS limit or Plan's maximum contribution limit for the year, you may make additional salary deferral contributions to the Plan up to the IRS Catch Up Provision Limit. You must fill out the 2014 Catch-Up form to participate and submit to NA.Payroll@capco.com


Roth: The Roth 401(k) contribution option is available to you. A Roth 401(k) contribution to your retirement plan allows you to make after-tax contributions and take any associated earnings completely tax free at retirement.


New Employer Match: To be eligible for matching contributions you are required to make employee pretax deferral contributions or Roth 401(k) after tax deferral contributions. The plan will match on the combined total of these contributions up to the matching limit. For purposes of determining your matching contributions under the Plan, your pretax contributions will not include Age 50 and over Catch-Up Contributions.


  • 50% of employee contribution capped up to 6% of eligible pay


Vesting Schedule

You are always 100% vested in your:


  • employee pretax account
  • rollover account
  • Roth 401(k) after tax deferral account
  • and any earnings thereon.


Employer matching contributions and earnings will be vested in accordance with the following schedule:

  • Less than 1 year of service = 0% vesting
  • 1 year, less than 2 years = 34%
  • 2 years less than 3 years = 67%
  • 3 or more years = 100%


You can make changes to your investment selections online at www.401k.com or by calling the Retirement Benefits Line at 1-800-835-5097.