About the Northrop Grumman Savings Plan
It's important for you to know that...
- New and rehired eligible employees are automatically enrolled in the Northrop Grumman Savings Plan
- 2% of your pay will automatically be deducted on a pre-tax basis beginning approximately 45 days after your hire date
- Begin your contributions sooner
- Increase your contribution rate
- Decline enrollment in the Northrop Grumman Savings Plan by logging on to My Benefits Access or by calling the Northrop Grumman Benefits Center (NGBC) at 1-800-894-4194
You can save from 1% to 75% of your eligible compensation in increments of 1%. Highly compensated employees are limited to contributing 35%. The IRS limits the amount that can be contributed to any savings plan.
You can make contributions as follows:
- Tax-deferred (before taxes are withheld from your paycheck)
- Roth 401(k) (after taxes are withheld from your paycheck, but earnings are tax-free on qualified distributions).
- After-tax (after taxes are withheld from your paycheck)
- Any combination of the three
Northrop Grumman may make a matching contribution based on the sub-plan in which you participate. To determine your sub-plan, log on to My Benefits Access.
Company Retirement Account Contributions
If you are hired on or after July 1, 2008 and not actively accruing a pension benefit, you may be eligible for company Retirement Account contributions. For more information, please see Northrop Grumman Savings Plan - Retirement Account Contributions.
The Northrop Grumman Savings Plan offers two different investment approaches to help you reach your savings goals:
- Path 1: Let a professional investment manager design and manage an investment portfolio based on your target retirement age
- Path 2: Build and monitor your own investment portfolio with several core investment fund options and the Schwab PCRA
Note: Trading restrictions apply to the core funds. See the SPD for details.
You are immediately 100% vested in your contributions. You are 100% vested in any company matching contributions* and in company Retirement Account contributions after 3 years of service,
*The 3 year vesting requirement for company matching contributions applies to employees hired after April 30, 2012