AbbVie 401(k) match, vesting and fees

Following the 30-day period from an employee’s hire or eligibility date, employees covered by ASP+ who have not affirmatively enrolled in the Plan and elected a specified contribution type and percentage or who have not opted out of automatic contributions, will be automatically enrolled in the Plan to contribute 3% of their pre-tax earnings.

The Plan permits Roth 401(k) after-tax contributions and a Roth 401(k) conversion feature. Participants who have attained age 50 before the end of the Plan year and who are making the maximum pre-tax or Roth contributions are eligible to make catch-up contributions.

Participants may borrow from their accounts a minimum of $1,000 up to a maximum equal to the lesser of $50,000 or 50% of their vested account balance, subject to IRC limitations and restrictions and Plan rules, and may have one or two loans outstanding. The loans are secured by the balance in the participant’s account. Participants pay interest on such loans at the prime rate on the first business day of the month the loan is made. Loans must be repaid within five years unless the loan is used for the purchase of the primary residence of the employee, in which case the repayment period can be extended to a period of fifteen years. Repayment is made through periodic payroll deductions, but a loan may be repaid in a lump sum at any time. For employees terminating employment with AbbVie during the repayment period who do not repay their loan before distribution of their Plan account, the balance of the outstanding loan is netted from their Plan distribution.