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Puerto Rico
US Virgin Islands
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401(K) PLAN
- Tax-deductible savings – Allows employer contributions to be deducted as a business expense for tax purposes.
- Low risk – Fiduciary responsibility is reduced because employees make their own investment decisions and Oriental Bank acts as the fiduciary.
- Stronger employee relationships – Helps recruit, retain, and motivate quality employees while promoting positive workplace relationships.
- Flexibility – Designed to meet the specific needs of the company. The employer may contribute and optionally match employee contributions. Vesting schedules may also be established for employer contributions.
- Tax-deductible savings – Reduces your tax obligations1.
- Tax-deferred asset growth – Contributions grow tax-deferred until retirement. At that time, you may choose to be taxed at a special 12.5% rate if you receive the funds as a lump sum. If you choose periodic payments and are age 60 or older, the first $15,000 for 2008 are exempt from income tax.
- Convenience – Contributions are made automatically through payroll deduction.
- Flexibility – Employees may choose the type of investment that best fits their needs and adjust their contribution amount if desired.
- Higher contribution limits – This plan allows contributions of up to a maximum of $9,000 annually.
Mandatory Disclosures
Past performance does not guarantee future results. Investment products are not FDIC insured, are not deposits or obligations of, nor guaranteed by, Oriental Bank or any of its affiliates. They are subjected to investment risks, including the possible loss of the principal amount l invested. Before participating, request and carefully read the detailed plan information. Oriental does not provide tax advice. Consult your tax advisor before enrolling.
The 401(k)/1165e Retirement Plan is offered by Oriental Trust, a department of Oriental Bank.
(1) Subject to changes in the Puerto Rico Internal Revenue Code or special laws.
To collaborate with the government in the fight against the financing of terrorism and money laundering activities, the federal law requires that every financial institution obtain, verify and record information that allows identifying any person who opens an account. For you this means that when you open an account, we will ask you for your name, address, date of birth and other information that will allow us to identify you. We also request that you show us your driver’s license or other identification documents. In addition, Effective May 2018, EACH time an account is opened for a covered Legal Entity, we are required to ask you for identifying information (name, address, date of birth, social security number, % Ownership as well as identification documents) for each individual that has beneficial ownership (25% or more) and one individual that has significant managerial control of the Legal Entity. If you are opening an account on behalf of a Legal Entity, you will be required to provide the appropriate documentation (Certification of Beneficial Owner) and to certify that this information is true and accurate to the best of your knowledge.