Healthcare Provider Update: Healthcare Provider for Magellan Midstream Partners Magellan Midstream Partners, like many large companies, typically provides a range of healthcare options for its employees, including coverage through major national insurers. The specific providers may vary, but among the top insurers suggesting significant premium increases for 2026 are UnitedHealthcare, Anthem, and Cigna, which may impact Magellan employees. Potential Healthcare Cost Increases in 2026 As the healthcare landscape evolves, Magellan Midstream Partners employees are poised to face significant cost increases in 2026. With healthcare premiums expected to rise sharply, particularly due to the expiration of enhanced federal subsidies, employees could see out-of-pocket costs escalate by over 75%. These anticipated hikes, with some states reporting individual market increases of more than 60%, highlight the pressing need for employees to review their healthcare plans proactively, taking steps to minimize financial strain amidst these escalating expenses. Click here to learn more
Choosing an IRA rollover means that your money remains tax-advantaged and capable of growth, as in a Magellan Midstream Partners-sponsored plan. You may also gain more investment options than what may have been available in your Magellan Midstream Partners-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.' |
|
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 Magellan Midstream Partners-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 Magellan Midstream Partners should make before rolling over their money into an IRA, these include:
- Internal management fees might be higher than in a Magellan Midstream Partners-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 Magellan Midstream Partners-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 Magellan Midstream Partners.
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:
- Corporate Employees: 8 Factors When Choosing a Mutual Fund
- Use of Escrow Accounts: Divorce
- Medicare Open Enrollment for Corporate Employees: Cost Changes in 2024!
- Stages of Retirement for Corporate Employees
- 7 Things to Consider Before Leaving Your Company
- How Are Workers Impacted by Inflation & Rising Interest Rates?
- Lump-Sum vs Annuity and Rising Interest Rates
- Internal Revenue Code Section 409A (Governing Nonqualified Deferred Compensation Plans)
- Corporate Employees: Do NOT Believe These 6 Retirement Myths!
- 401K, Social Security, Pension – How to Maximize Your Options
- Have You Looked at Your 401(k) Plan Recently?
- 11 Questions You Should Ask Yourself When Planning for Retirement
- Worst Month of Layoffs In Over a Year!
- Corporate Employees: 8 Factors When Choosing a Mutual Fund
- Use of Escrow Accounts: Divorce
- Medicare Open Enrollment for Corporate Employees: Cost Changes in 2024!
- Stages of Retirement for Corporate Employees
- 7 Things to Consider Before Leaving Your Company
- How Are Workers Impacted by Inflation & Rising Interest Rates?
- Lump-Sum vs Annuity and Rising Interest Rates
- Internal Revenue Code Section 409A (Governing Nonqualified Deferred Compensation Plans)
- Corporate Employees: Do NOT Believe These 6 Retirement Myths!
- 401K, Social Security, Pension – How to Maximize Your Options
- Have You Looked at Your 401(k) Plan Recently?
- 11 Questions You Should Ask Yourself When Planning for Retirement
- Worst Month of Layoffs In Over a Year!
What type of retirement savings plan does Magellan Midstream Partners offer to its employees?
Magellan Midstream Partners offers a 401(k) retirement savings plan to its employees.
Does Magellan Midstream Partners match employee contributions to the 401(k) plan?
Yes, Magellan Midstream Partners provides a matching contribution to employee contributions to the 401(k) plan, subject to certain limits.
What is the eligibility requirement for employees to participate in the Magellan Midstream Partners 401(k) plan?
Employees of Magellan Midstream Partners are eligible to participate in the 401(k) plan after completing a specified period of service, typically within the first year of employment.
How can employees of Magellan Midstream Partners enroll in the 401(k) plan?
Employees can enroll in the Magellan Midstream Partners 401(k) plan through the company’s HR portal or by contacting the HR department for assistance.
What investment options are available in the Magellan Midstream Partners 401(k) plan?
The Magellan Midstream Partners 401(k) plan offers a variety of investment options, including mutual funds, target-date funds, and other investment vehicles.
Can employees of Magellan Midstream Partners change their contribution percentage to the 401(k) plan?
Yes, employees can change their contribution percentage to the Magellan Midstream Partners 401(k) plan at any time, subject to plan rules.
Is there a limit on how much employees can contribute to the Magellan Midstream Partners 401(k) plan?
Yes, the IRS sets annual contribution limits for 401(k) plans, and employees of Magellan Midstream Partners must adhere to these limits.
When can employees of Magellan Midstream Partners access their 401(k) funds?
Employees can access their 401(k) funds upon reaching retirement age, or in cases of hardship, termination of employment, or other qualifying events as defined by the plan.
Does Magellan Midstream Partners offer a loan option against the 401(k) plan?
Yes, Magellan Midstream Partners allows employees to take loans against their 401(k) balance, subject to specific terms and conditions.
What happens to the 401(k) plan if an employee leaves Magellan Midstream Partners?
If an employee leaves Magellan Midstream Partners, they may roll over their 401(k) balance to another retirement account, cash out, or leave it in the plan if permitted.
-2.png?width=300&height=200&name=office-builing-main-lobby%20(52)-2.png)
.webp?width=300&height=200&name=office-builing-main-lobby%20(27).webp)
-2.png)
.webp)