USAA 401(k) match, vesting and fees

E. Withdrawals and vesting Upon death, disability, retirement, separation in service, at age 55 or termination, a participant shall be entitled to receive the value of their participant vested account balance as a single or partial lump sum distribution or in equal monthly installments from the Plan. Participants can elect to receive installments on an annual, semi-annual, quarterly, monthly, or semi-monthly basis. Participants are 100% vested in that portion of their participant accounts, which are the result of their contributions. The portion of a participant's account that results from USAA matching contributions shall vest 100% after two years of service. A participant’s Retirement Plus Account (account designated for Retirement Plus Contribution) shall become 20% vested upon the participant’s completion of 2 years of vesting service and increase 20% each year such that the participant’s Retirement Plus Account shall be 100% vested upon the participant’s completion of 6 years of vesting service. A year of vesting service is 12 months of continuous employment. Exceptions exist in the event of normal retirement, early retirement, permanent disability, or death. Forfeitures of non-vested account balances are used to reduce USAA’s future matching contributions. In 2024 and 2023, Plan forfeitures applied were $16,101 and $13,489, respectively. Forfeitures available at December 31, 2024 and 2023, totaled $3,722 and $3,092, respectively. Participants may make in-service withdrawals from their after-tax, qualified rollover and pre-2008 vested employer matching accounts at any time.

New participants are automatically enrolled with a contribution rate of 4% pre-tax, which automatically increases to 6% upon their one-year anniversary, but can subsequently opt out or adjust the contribution rate.

B. Contributions and eligibility Participants are immediately eligible to participate in the Plan on their date of hire or rehire. Contributions are made by USAA and Plan participants. The maximum amount of all contributions is limited to a percentage of the participant’s pay each payroll period and to an annual overall dollar limit. Generally, participants may contribute, as pre-tax/Roth contributions, anywhere from 0.01% to 50% of their pay each payroll period. Pre-tax and Roth contributions are limited by law to $23.0 in 2024 and $22.5 in 2023.

F. Participant notes Participants may borrow a minimum of $1 up to a maximum equal to the lesser of $50 or 50 percent of their vested account balance. If the participant had a loan balance within the immediate preceding 12 months, the maximum amount of the loan is the lesser of $50 minus the highest outstanding loan balance in the 12-month period immediately preceding the date of the loan request or 50% of the vested account balance minus the current loan balance, if any. Participants may have up to two loans outstanding at any time and maturities range from 1 to 5 years. A 30-day waiting period is required after repayment of a loan balance before the participant can request a new loan. A loan maintenance fee of fifty dollars is assessed for each loan requested. The loans are secured by the vested balance in the participant’s account and bear interest at one percent above the prime rate. The interest rate on loans outstanding in 2024 and 2023 ranged from 4.25% to 9.5%. Principal and interest is paid ratably through biweekly payroll deductions. Participants may elect through the recordkeeper to make partial or full loan prepayments.