New Update: Healthcare Costs Increasing by Over 60% in Some States. Will you be impacted?

Is a Rollover into an IRA the Right Move for You as a HF Sinclair Employee?

Healthcare Provider Update: Offers medical plans through Blue Cross Blue Shield of Texas (BCBSTX), with options for PPO and HDHP plans, plus dental (BCBSTX), vision (VSP), and virtual care via MDLIVE 1. As ACA premiums rise and subsidies expire, HF Sinclairs employer-sponsored plans with preventive care and wellness incentives may help employees avoid the steep out-of-pocket costs expected in the marketplace. Click here to learn more

Choosing an IRA rollover means that your money remains tax-advantaged and capable of growth, as in a HF Sinclair-sponsored plan. You may also gain more investment options than what may have been available in your HF Sinclair-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.'

brown rocky mountain beside blue sea during daytime

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 HF Sinclair-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 HF Sinclair should make before rolling over their money into an IRA, these include:

Internal management fees might be higher than in a HF Sinclair-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 HF Sinclair-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 HF Sinclair.

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

Featured Video

Articles you may find interesting:

What is the 401(k) plan offered by HF Sinclair?

The 401(k) plan at HF Sinclair is a retirement savings plan that allows employees to save a portion of their paycheck before taxes are deducted.

How can I enroll in HF Sinclair's 401(k) plan?

Employees can enroll in HF Sinclair's 401(k) plan by completing the enrollment process through the company's benefits portal or by contacting the HR department for assistance.

Does HF Sinclair match employee contributions to the 401(k) plan?

Yes, HF Sinclair offers a matching contribution to the 401(k) plan, which helps employees boost their retirement savings.

What is the maximum contribution limit for HF Sinclair's 401(k) plan?

The maximum contribution limit for HF Sinclair's 401(k) plan is set according to IRS guidelines, which may change annually. Employees should check the latest limits for the current year.

When can I start contributing to HF Sinclair's 401(k) plan?

Employees at HF Sinclair can start contributing to the 401(k) plan after completing their eligibility period, which is typically outlined in the benefits documentation.

What investment options are available in HF Sinclair's 401(k) plan?

HF Sinclair's 401(k) plan offers a variety of investment options, including mutual funds, stocks, and bonds, allowing employees to choose based on their risk tolerance and retirement goals.

Can I take a loan against my 401(k) at HF Sinclair?

Yes, HF Sinclair allows employees to take loans against their 401(k) savings, subject to certain conditions and limits as outlined in the plan documents.

What happens to my 401(k) if I leave HF Sinclair?

If an employee leaves HF Sinclair, they have several options for their 401(k), including rolling it over to a new employer's plan, transferring it to an IRA, or cashing it out (with potential penalties).

How often can I change my contribution amount to HF Sinclair's 401(k) plan?

Employees can typically change their contribution amount to HF Sinclair's 401(k) plan during open enrollment periods or at any time as permitted by the plan rules.

Is there a vesting schedule for HF Sinclair's 401(k) matching contributions?

Yes, HF Sinclair has a vesting schedule for its matching contributions, meaning employees must work for a certain period before they fully own the matched funds.

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

HF Sinclair provides both a pension plan and a 401(k) plan for its employees. The company's pension plan is referred to as the HF Sinclair Retirement Plan, and it generally requires employees to meet certain age and years of service qualifications to be eligible. The pension formula is based on a final average pay calculation, which considers the employee's average salary over the last few years of service. For the 401(k) plan, known as the HF Sinclair 401(k) Retirement Savings Plan, employees are automatically enrolled with a default contribution rate of 6% of eligible earnings. Employees have the flexibility to adjust this contribution rate from 1% to 75% of their eligible earnings. The plan includes a company match, enhancing the retirement savings for participants. Detailed information about the pension and 401(k) plans, including eligibility criteria, contribution limits, and specific terms, can be found in the HF Sinclair benefits summary documents from 2022 to 2024, accessible through their internal benefits portal. Please refer to the specific benefits document for exact details, including page numbers

Layoffs: In 2023, HF Sinclair implemented significant layoffs at its Sinclair refinery, affecting nearly 100 employees. The decision was met with concern from both state and federal officials due to the economic impact on local communities. This reduction aligns with the company's broader strategy to optimize operations in a challenging economic environment. The layoffs are important to address given the current economic pressures and the impact on the local workforce, emphasizing the need for strategic planning and support for affected employees.

HF Sinclair Corporation offers various employee stock options (ESOs) and Restricted Stock Units (RSUs) as part of its equity compensation program. These options and units are made available to employees to align their interests with the company's performance and long-term success. Stock Options: HF Sinclair provides employees the opportunity to purchase company stock at a predetermined price, known as the exercise price. This option typically vests over a period of time, allowing employees to purchase shares at the set price, regardless of the market price at the time of exercise. Restricted Stock Units (RSUs): RSUs are another form of equity compensation offered by HF Sinclair. Unlike stock options, RSUs represent a promise to deliver company shares at a future date, subject to vesting conditions such as continued employment or performance milestones. Upon vesting, RSUs are converted to actual shares of HF Sinclair stock. Eligibility: Both stock options and RSUs are generally made available to a wide range of employees within HF Sinclair, including senior executives, managers, and other key employees. The availability of these equity awards is typically tied to the employee's role, performance, and tenure with the company. In 2022, 2023, and 2024, HF Sinclair continued to issue these equity compensations as part of their incentive plans, adapting the terms and conditions based on the company’s financial performance and strategic goals. For detailed information on the specific terms and conditions, including vesting schedules and eligibility, you can refer to the company’s investor relations presentations and annual reports.

HF Sinclair offers a comprehensive range of health benefits aimed at supporting the physical, mental, and financial well-being of its employees. For the years 2022, 2023, and 2024, HF Sinclair's health benefits include medical plans with Health Savings Accounts (HSA), Health Reimbursement Accounts (HRA), and incentives like the "Go-to-Doctor" program, which offers premium discounts for completing an annual physical. Employees have access to various healthcare plans, including dental and vision coverage, as well as wellness programs that promote preventive care.

Additional Articles

Check Out Articles for HF Sinclair employees

For more information you can reach the plan administrator for HF Sinclair at , ; or by calling them at .

https://contracts.justia.com/companies/hf-sinclair-corp-14753/contract/249485/ https://markets.businessinsider.com/news/stocks/hf-sinclair-corporation-hold-rating-amid-mixed-segment-performance-and-market-trends-1033638216 https://cwabellingham.com/hf-sinclair-401k-model-allocations-q4-2023/ https://investor.hfsinclair.com/investor-relations/default.aspx https://cwabellingham.com/hf-sinclair-401k-model-allocations-q4-2023/ https://www.foxrothschild.com/publications/interest-rate-hikes-present-challenge-for-fully-funded-pension-plans https://2956401.fs1.hubspotusercontent-na1.net/hubfs/2956401/SLC/Updated%20Guides%208.30.23/SLC_2023_2024_OE_Benefit_Guide_Group_A_Kaiser_FINAL_UPDATED.pdf https://www.hfsinclair.com/investor-relations/press-releases/Press-Release-Details/2023/HF-Sinclair-Corporation-and-Holly-Energy-Partners-L.P.-Announce-Definitive-Merger-Agreement/default.aspx https://rewards.hfsinclair.com/ https://law-store.wolterskluwer.com/s/product/defined-benefit-answer-book-pension-3-mo-subvitallaw-3r/01t0f00000J3FC4AAN https://www.schwab.com/retirement-planning-tools/retirement-calculator https://www.fidelity.com/ https://intellizence.com/insights/layoff-downsizing/leading-companies-announcing-layoffs-and-hiring-freezes/ https://www.merrilledge.com/ https://stockanalysis.com/stocks/dino/employees/ https://oilcity.news/community/energy-community/2022/07/13/governor-cheney-react-to-hf-sinclair-layoff-report/