The Incentive Savings Plan (ISP) 401(k) provides an easier way to save and invest. The ISP is a 401(k) plan that allows you to contribute on a pretax and/or Roth after-tax basis. The company matches a portion of your contributions to help your account grow, once you are match-eligible.
The chart below shows when you are eligible to join the ISP 401(k), receive the company match and vest in (have a non-forfeitable right to) the company match money. You are always 100% vested in your own contributions and any earnings on that amount.
You are eligible to join the ISP 401(k): Immediately. You will automatically be enrolled at a 4% pretax contribution from your eligible compensation, unless you make a different election or opt out within 30 days of your hire date. Learn more.
You are eligible for the company match: On the first of the month following six months of service from your most recent hire date
You are vested in the company match: After three years of service
You are eligible to join the ISP 401(k): After completing one year of service. You will automatically be enrolled at a 4% pretax contribution from your eligible compensation, unless you make a different election or opt out within 30 days of your eligibility date. Learn more.
You are eligible for the company match: Immediately upon enrolling in the ISP 401(k), or first of the month following six months of service from your most recent hire date, if later
You are vested in the company match: After three years of service
To learn more about the default investment to the BlackRock LifePath funds, review the Annual Qualified Default Investment Alternatives (QDIA) notice available on Pathfinder from PNC’s intranet (or directly to pncpathfinder.com).
You may contribute from 1% to 75% of your eligible compensation on a pretax and/or Roth after-tax basis, up to the combined IRS maximum ($23,000 in 2024, plus an additional $7,500 if you are age 50 or older). The maximum may be further limited for highly compensated employees, as defined by the IRS.
Your contributions are deducted directly from your pay each pay period. In general, you may change your contribution percentage anytime through Pathfinder. Go to Pathfinder from PNC’s intranet (or directly to pncpathfinder.com) and select Retirement & Investments, then Contributions Details. Changes take effect within two payroll cycles.
PNC makes a matching contribution to the ISP 401(k) once you become eligible for the match. For every dollar you contribute, PNC will contribute a dollar, up to a maximum of 4% of your eligible compensation each pay period.
If you want to convert all or a portion of your pretax ISP 401(k) balance to Roth after-tax, in-plan Roth conversions are available.
To learn more about vesting, contributions and matching, fund line-up and investment choices, withdrawals, loans and more, please review the PNC ISP 401(k) Plan Overview and Enrollment Guide. For even more detail, please see the PNC ISP 401(k) Summary Plan Description (SPD).
The ISP 401(k) offers a range of investment options, allowing you to choose the funds that best meet your personal savings goals. Your pretax and Roth contributions must be invested the same way. In other words, you cannot invest your pretax balance in one selection of available funds and invest your Roth balance in a different group of funds.
It’s important to read the fund fact sheets and fund prospectuses (available on Pathfinder; select Retirement & Investments, then Investment Details, then Fund Performance) before making your investment decisions. Remember that past performance is no guarantee of future results.
The U.S. Department of Labor recommends a well-balanced and diversified portfolio, which means spreading your assets among different types of investments, in order to increase your overall chance for better returns, while minimizing your overall risk of losing money. This is because market (or other economic) conditions that cause one category of assets or one particular security, to perform well, often cause another asset category (or another particular security) to perform poorly.
If you invest more than 20% of your retirement savings in any one company or industry, your savings may not be adequately diversified. Although diversification is not a guarantee against loss, it is an effective strategy to help you manage investment risk.
How you invest your retirement savings should depend on your age, lifestyle, accumulated wealth, years until retirement, and comfort level around risk.
For more information about individual investing and portfolio diversification, visit the U.S. Department of Labor’s website.
The ISP 401(k) offers these investment funds (effective Jan. 1, 2023).
ISP 401(k) participants* are offered personalized advice on their savings, investments and retirement income through Alight Financial Advisors (AFA), an independent third-party investment advisor. AFA has hired Financial Engines Advisors L.L.C. (FEA) to provide sub-advisory services.
AFA services include the following:
*Individuals who have been notified that they are Section 16 officers and/or restricted employees, and who invest in the PNC Stock Fund in their 401(k) account, will not receive Alight Financial Advisors communications (including the Retirement Evaluation) and are not eligible to enroll in Professional Management. Online advice is available to all employees.