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 iHeartMedia Employee?

Healthcare Provider Update: Healthcare Provider for iHeartMedia iHeartMedia offers its employees healthcare coverage through various plans under the Affordable Care Act (ACA) marketplace. Specific insurance providers for iHeartMedia employees can include major insurers such as UnitedHealthcare, Anthem, Cigna, and Molina Healthcare, depending on the enrolled plans available in their respective states. Potential Healthcare Cost Increases in 2026 As 2026 approaches, iHeartMedia employees face a potential surge in healthcare costs, driven by significant increases in ACA marketplace premiums. With some states experiencing hikes exceeding 60%, the expiration of enhanced federal subsidies will add further financial strain, potentially raising out-of-pocket premium expenses by over 75% for many enrollees. Contributing factors include rising medical costs, higher prescription drug prices, and an overall increase in healthcare utilization, making 2026 especially challenging for those relying on ACA plans. Click here to learn more

Choosing an IRA rollover means that your money remains tax-advantaged and capable of growth, as in a iHeartMedia-sponsored plan. You may also gain more investment options than what may have been available in your iHeartMedia-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 iHeartMedia-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 iHeartMedia should make before rolling over their money into an IRA, these include:

Internal management fees might be higher than in a iHeartMedia-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 iHeartMedia-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 iHeartMedia.

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 savings plan does iHeartMedia offer to its employees?

iHeartMedia offers a 401(k) retirement savings plan to help employees save for their future.

Does iHeartMedia provide any matching contributions to the 401(k) plan?

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

What is the eligibility requirement for employees to participate in iHeartMedia's 401(k) plan?

Employees at iHeartMedia are eligible to participate in the 401(k) plan after completing a specified period of service, typically within the first year of employment.

Can employees of iHeartMedia choose how much to contribute to their 401(k) plan?

Yes, employees can choose to contribute a percentage of their salary to the iHeartMedia 401(k) plan, within the limits set by the IRS.

Are there any fees associated with iHeartMedia's 401(k) plan?

Yes, like most 401(k) plans, iHeartMedia's plan may have administrative fees and investment fees, which are disclosed in the plan documents.

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

iHeartMedia offers a range of investment options in its 401(k) plan, including mutual funds, target-date funds, and other investment vehicles.

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

Employees can typically change their contribution amounts to the iHeartMedia 401(k) plan on a quarterly basis or as specified in the plan documents.

Does iHeartMedia allow for loans against the 401(k) plan?

Yes, iHeartMedia's 401(k) plan may allow employees to take loans against their account balance, subject to certain terms and conditions.

What happens to my 401(k) account if I leave iHeartMedia?

If you leave iHeartMedia, you can choose to roll over your 401(k) account to another retirement plan, cash it out, or leave it in the iHeartMedia plan if allowed.

Is there a vesting schedule for the employer match in iHeartMedia's 401(k) plan?

Yes, iHeartMedia has a vesting schedule for employer matching contributions, which determines how much of the match you own based on your years of service.

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

Employee Pension Plan Plan Name: iHeartMedia does not have a traditional pension plan. The company primarily offers a 401(k) plan for retirement savings. Years of Service and Age Qualification: iHeartMedia does not offer a defined benefit pension plan, so there are no specific years of service or age qualification criteria for such a plan. Plan Name: iHeartMedia 401(k) Plan Eligibility: Employees are eligible to participate in the iHeartMedia 401(k) Plan. Typically, eligibility begins after 30 days of employment, although this can vary based on the employee's role and employment status. 401(k) Plan Features: The plan offers a range of investment options, and iHeartMedia provides a company match, which may vary based on the employee's contribution level and tenure.

Restructuring and Layoffs: In early 2024, iHeartMedia announced a significant restructuring plan aimed at reducing operational costs and streamlining its business. This decision comes as part of a broader effort to adapt to the rapidly changing media landscape and fluctuating ad revenues. The company is expected to cut approximately 10% of its workforce, which could impact several departments across the organization. This restructuring is critical to follow due to its potential implications on job security, industry dynamics, and market competitiveness. Company Benefits, Pension, and 401k Changes: iHeartMedia has also made changes to its employee benefits and retirement plans. The company has adjusted its 401k matching contributions and modified its pension plan to better align with its financial strategies. These changes could affect employees' long-term financial planning and retirement readiness. Understanding these adjustments is essential in the current economic environment, where investment strategies and tax implications play a crucial role in personal financial security.

In 2022, iHeartMedia provided stock options (SO) and Restricted Stock Units (RSUs) to senior executives and key employees. The RSU grants had performance-based vesting conditions.

Benefits Overview: iHeartMedia provides a range of health benefits, including medical, dental, and vision insurance. They offer a Health Savings Account (HSA) and Flexible Spending Account (FSA) options. Coverage includes preventive care, mental health support, and employee assistance programs.