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Is a Rollover into an IRA the Right Move for You as a Delek US Holdings Employee?

Healthcare Provider Update: Delek provides medical, dental, vision, HSAs, FSAs, and wellness rebates, plus fertility and telemedicine benefits 9. As ACA costs rise, Deleks wellness incentives and employer contributions may help employees offset higher out-of-pocket expenses Click here to learn more

Choosing an IRA rollover means that your money remains tax-advantaged and capable of growth, as in a Delek US Holdings-sponsored plan. You may also gain more investment options than what may have been available in your Delek US Holdings-sponsored plan. You may also gain oversight of managing these important retirement assets from your trusted Advisor.

If you roll your retirement plan assets over into an IRA account that you already own through your Advisor, you also receive the benefit of combined statements and holistic investment planning, making it easier to track your overall financial situation.

'Receive the benefit of combined statements and holistic investment planning, making it easier to track your overall financial situation.'

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Some of the benefits of rolling your money into an IRA include:

Tax-deferred growth potential: This generally avoids current income tax and distribution penalties when removed from a Delek US Holdings-sponsored retirement plan.

More investment choices: This allows for additional contributions, if eligible. IRAs can be combined and handled by one provider, thereby reducing trustee costs and consolidating statements. Protection from creditors in federal bankruptcy proceedings. The combined amount of your required minimum distributions (RMDs) can be taken from any of your Traditional, SEP or SIMPLE IRAs.

However, there are also some important considerations that Delek US Holdings should make before rolling over their money into an IRA, these include:

Internal management fees might be higher than in a Delek US Holdings-sponsored retirement plan.
Fees and expenses depend largely on the investments you choose.
Loans from an IRA are not allowed.
Early distributions may be subject to a 10% IRS tax penalty in addition to income tax.
RMDs begin April 1 following the year you reach 70½ and annually thereafter; leaving the money in the former Fortune-500 plan may allow RMDs to be delayed until separation from service.
IRAs are subject to state laws governing malpractice, divorce, creditors (outside of bankruptcy), and other lawsuits; leaving the money in the former Delek US Holdings-plan may provide additional protection against creditors.
Net unrealized appreciation (NUA) is the difference between what you paid for employer securities and their increased value. You lose favorable tax treatment of NUA if the funds are rolled into an IRA.

Hopefully, these insights will be helpful as you plan your retirement from Delek US Holdings.

For more information about this topic, view our e-book here: https://retirekit.theretirementgroup.com/will-your-retirement-plan-retire-with-you-e-brochure-offer

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What type of retirement plan does Delek US Holdings offer to its employees?

Delek US Holdings offers a 401(k) retirement savings plan to its employees.

How can employees of Delek US Holdings enroll in the 401(k) plan?

Employees of Delek US Holdings can enroll in the 401(k) plan through the company’s HR portal or by contacting the HR department for assistance.

Does Delek US Holdings match employee contributions to the 401(k) plan?

Yes, Delek US Holdings provides a matching contribution to employee contributions made to the 401(k) plan, subject to certain limits.

What is the maximum contribution limit for the 401(k) plan at Delek US Holdings?

The maximum contribution limit for the 401(k) plan at Delek US Holdings follows the IRS guidelines, which can change annually. Employees should check the current limits each year.

Can employees of Delek US Holdings take loans against their 401(k) savings?

Yes, Delek US Holdings allows employees to take loans against their 401(k) savings, subject to the plan’s terms and conditions.

What investment options are available in the Delek US Holdings 401(k) plan?

The 401(k) plan at Delek US Holdings offers a variety of investment options, including mutual funds, stocks, and bonds, allowing employees to diversify their portfolios.

How often can employees change their contribution amounts to the Delek US Holdings 401(k) plan?

Employees of Delek US Holdings can change their contribution amounts to the 401(k) plan on a quarterly basis, or as specified in the plan documents.

Is there a vesting schedule for the employer match in the Delek US Holdings 401(k) plan?

Yes, Delek US Holdings has a vesting schedule for the employer match, which determines how much of the matched contributions employees are entitled to based on their length of service.

What happens to the 401(k) plan if an employee leaves Delek US Holdings?

If an employee leaves Delek US Holdings, they have several options for their 401(k) savings, including rolling it over to another retirement account or cashing it out, subject to taxes and penalties.

Can employees of Delek US Holdings access their 401(k) funds while still employed?

Employees of Delek US Holdings may be able to access their 401(k) funds through hardship withdrawals, depending on the circumstances and the plan’s rules.

With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.

Delek US Holdings offers a 401(k) plan for its employees with several features aimed at enhancing retirement savings. Employees are eligible for the company 401(k) plan, which allows them to make pre-tax contributions from their salary. The contribution limits follow the IRS guidelines, which increased to $22,500 for 2023 and $23,000 for 2024. Delek provides a matching contribution up to a specific percentage, although details on the precise matching percentage for 2022-2024 were not readily available. Their 401(k) plan is known to include options for traditional and Roth 401(k) contributions, giving employees flexibility in how they save for retirement. Employees are typically eligible for this plan from the start of employment (SEC.gov) (SEC.gov). For pensions, Delek US Holdings does not offer a traditional defined benefit pension plan to all employees but focuses on their defined contribution 401(k) plan instead. This structure is more common in modern corporate retirement offerings, especially in the refining and logistics sectors. Their focus is on matching contributions and enhancing the overall retirement package through the 401(k) system

Delek US Holdings Restructuring and Layoffs: In early 2024, Delek US Holdings announced a significant restructuring initiative aimed at streamlining its operations. This move includes a reduction in workforce by approximately 10% across its various divisions. The company stated that these layoffs are part of a broader effort to enhance operational efficiency and align with its strategic goals in a challenging economic environment. Importance: Given the current economic uncertainties, such as fluctuating oil prices and geopolitical tensions, it is crucial for employees and stakeholders to stay informed about these changes. The restructuring could impact job security, benefits, and future company performance, making it essential to monitor how these developments unfold.

Delek US Holdings offers a range of stock options and Restricted Stock Units (RSUs) through its long-term incentive plans, primarily focused on motivating key employees and aligning their interests with shareholders. These awards are part of the company’s broader equity incentive plan, which was initially approved in 2017 and updated in 2018. The RSUs and stock options are granted under the Delek US Holdings Equity Incentive Plan and are designed to promote long-term commitment and performance. In 2022, 2023, and 2024, eligible employees received these awards based on their role and performance, with awards vesting over a period of four years. The stock options are tied to the company’s Class A common stock, while performance share units (PSUs) and performance units (PUs) are aligned with total shareholder return (TSR) relative to industry peers.

Health Benefits Overview: Delek US Holdings’ official website provides a broad overview of their benefits package. Key elements often include medical, dental, and vision insurance, health savings accounts (HSAs), flexible spending accounts (FSAs), and wellness programs. Recent Updates: The website may have recent updates about changes in healthcare plans or enhancements in coverage for 2023 or 2024.

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For more information you can reach the plan administrator for Delek US Holdings at 7102 Commerce Way Brentwood, TN 37027; or by calling them at (615) 771-6701.

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