Profit Sharing Plan

1
Profit Sharing Plan
The information contained in this document is not
for use or disclosure outside Makotek, LLC.
2
What is a Profit Sharing Plan?

• A plan where your employer contributes a share of
  the company profits to a plan for eligible
  employees for retirement.
• Contributions are at the employers discretion
  and are typically based on how well the total
  company performed.
• You will receive the value of the account upon
  retirement, death, or disability.
• You can take the vested portion of your plan
  with you upon leaving Makotek.
• You can take an in-service distribution of a
  portion of your vested amount while still
  employed with Makotek.

The information contained in this document is not
for use or disclosure outside Makotek, LLC.
3
Who manages the Profit Sharing Plan?

• The plan is managed by Trustees.
• Professional specialty firms are used to manage
  the plan.
• Pershing, a leading provider of comprehensive
  financial services worldwide, handles the
  investment side of the plan.
• The Pension specialists handle the administrative
  side of the plan.

The information contained in this document is not
for use or disclosure outside Makotek, LLC.
4
Employee

• You are eligible when you have completed 1000
  hours of service in each 12 month period.
• You must be employed for more than 1 year on
  December 31st to be eligible for the plan.
• Individual Statements are mailed annually and
  show your account summary including
• Prior Balance
• Gains/Losses
• Contributions
• Expenses
• Ending Balance
• Vested Balance

The information contained in this document is not
for use or disclosure outside Makotek, LLC.
5
Vesting Schedule

• Years of Service Vested
• Less than 1 0
• 1 but less than 2 0
• 2 but less than 3 20
• 3 but less than 4 40
• 4 but less than 5 60
• 5 but less than 6 80
• 6 but less than 7 100

• When an employee leaves Makotek, the unvested
  portion of the separated employee is distributed
  (based on of plan) to the remaining plan
  participants

The information contained in this document is not
for use or disclosure outside Makotek, LLC.
6
Employer Contribution

• Is discretionary each year based on company
  performance.
• The plan can be terminated by employer at any
  time.
• Participant Accounts are funded based on employee
  compensation as a percentage of total
  compensation of eligible employees.
• Example 100,000 contributed to Plan
• 1,000,000 total payroll of eligible employees
• 40,000 your salary or 4 of plan
• 4,000 your share of contribution
• Expenses to the plan are paid by plan.

The information contained in this document is not
for use or disclosure outside Makotek, LLC.
7
In-Service Distribution

• In-Service distributions can be taken from your
  vested portion of your account while you are
  employed.
• In-Service distributions parameters are
• Maximum available is current vesting percentage
  multiplied by their total balance
• 2 years ago
• Early distribution taxes, fees, and IRS penalties
  apply unless the distribution is a direct
  rollover into a qualified plan or IRA
• Amount distributed is not eligible for future
  plan earnings or forfeitures
• To apply, download and fill out the In-Service
  Distribution Form on the Makotek website

The information contained in this document is not
for use or disclosure outside Makotek, LLC.
8
Other Information

• Copy of Summary Plan Description available to
  review at each office.
• Rollovers are not permitted into plan.
• The plan is subject to the provisions of the
  Employee Retirement Income Security Act of 1974
  (ERISA).
• Plan is invested in total by the Trustees, not
  managed individually by the employee as in a
  401k.

The information contained in this document is not
for use or disclosure outside Makotek, LLC.