STOP!
Don’t cash out
your FutureBuilder
401(k) savings yet.
Make sure you
know your options.
Generally speaking, taking your FutureBuilder savings in cash before you reach age 59½ is a poor choice, because you will
have to immediately pay taxes and penalties to the IRS, and what’s left after paying taxes will no longer grow tax-deferred.
Option
Eligibility
Pros
Cons
Leave your
money in the
FutureBuilder Plan
$1,000 minimum
vested balance
• No current income taxes on your savings,
which could result in faster growth
• No early withdrawal penalties
• Access to in-plan, lower-cost investment
options
• Fees may be lower than those of an IRA
• Not required to receive distributions until
earlier of age 70½ or balance below $1,000
•M
ust maintain minimum account balance
• Investment options are limited to plan
offerings
Nearing retirement? You can receive steady payments from the plan while reducing your
risk of future losses – see below to learn more.
Roll over1
to your new
employer’s plan
Your new employer
must offer a qualified
plan that accepts
rollover contributions
• No current income taxes on your savings,
which could result in faster growth
• No early withdrawal penalties
• Your new employer’s plan may allow for
loans and/or hardship withdrawals
•M
ust join your new employer’s qualified plan
• Investment options are limited to those the
new employer’s plan offers
• You may have limited loan and withdrawal
options
Roll over1 to
an Individual
Retirement
Account (IRA)
Available to any
prior Home Depot
associate; must
establish an IRA
• No current income taxes on your savings,
which could result in faster growth
• No early withdrawal penalties
• Wide array of investment options
• More flexible withdrawal options for such
items as educational expenses and first-time
home purchase
• Ability to consolidate money from other
employers’ plans into one account
•M
ust open (or have) an IRA
• No access to investment options offered
exclusively in your current FutureBuilder plan
• May be some costs associated with taking
money out of an IRA
• May be commissions and/or fees
associated with buying and selling
investments
Nearing retirement? You can roll over to an Income Annuity IRA and receive lifetime
income – see below to learn more.
Take a lump sum
distribution
Available to any
prior Home Depot
associate
• Funds immediate income needs
•L
ose tax-deferred growth on savings
• Pay income taxes on the taxable portion
withdrawn
• Forfeit 20% of withdrawal amount to
mandatory federal withholding
• Incur possible 10% early withdrawal penalty
if you’re under age 59½
• Savings can’t be rolled over into an IRA or
another employer’s plan after 60 days
For more information on any of the options above, call the Benefits Choice Center at 1-800-555-4954.
NEARING RETIREMENT? Home Depot offers ways to manage your income into retirement.
Getting close to retirement? Congratulations! Now it’s time to think about how to manage your income. The Home Depot
offers you two convenient, optional tools to convert some or all of your FutureBuilder balance into retirement income:
•F
INANCIAL ENGINES PROFESSIONAL MANAGEMENT WITH INCOME+ – This program 2 seeks to reduce the
risk of big losses to your retirement income as you near retirement and allows you to receive payments directly from
your FutureBuilder Plan.
• INCOME SOLUTIONS® – This lifetime income annuity program3 provides access to a variety of guaranteed lifetime
income annuities that offer a paycheck for life, which can reduce the risk of outliving your assets. The Home Depot
has made an annuity program, Income Solutions,® delivered by Hueler Investment Services, Inc., available to allow you
to choose from a variety of annuity providers.
See reverse side to learn whether either – or both – of these options might work for you.
COMPARE RETIREMENT INCOME SOLUTIONS
Option
Eligibility
Pros
Cons
For more info
FINANCIAL ENGINES PROFESSIONAL MANAGEMENT WITH INCOME+
Receive steady
payments from the
FutureBuilder plan2
Payouts are not guaranteed
and program fees apply
Certain age and balance
restrictions may apply;
must enroll in Financial
Engines Professional
Management
• Utilizes your existing
FutureBuilder funds
• Provides flexibility and liquidity
• Provides payouts that can
last until your early 90s 2
• No additional fees for Income+
•M
ust enroll in Financial
Engines Professional
Management (fees
apply) to be eligible
Call Financial Engines
at 1-800-601-5957
•P
rovides an income stream that
you cannot outlive
• Eliminates risk of stock market
and interest rate volatility
• Allows you to decide when you
would like your income to begin
•L
oss of liquidity and
access to funds; once
chosen is irrevocable
• One-time transaction fee
Call Hueler Income
Solutions® to learn
more and obtain
quotes at
1-866-297-9835
INCOME SOLUTIONS®
Roll over1 to an
Income Annuity IRA3
Annuities are not suitable
for everyone and fees apply
Certain age and balance
restrictions may apply;
must establish a fixed
annuity IRA outside of
the FutureBuilder Plan
If you decide to roll over your retirement savings to a new IRA, existing IRA or new employer’s plan, you can do so quickly, easily and securely through Rollover Central on the Your Benefits Resources website.
You can use Rollover Central to process existing IRA and new employer plan rollovers, even if the provider’s name is not listed on the site. Just make your rollover selection within Rollover Central, and you will be
prompted to enter your provider information as part of the application process. To use Rollover Central, log on to Your Benefits Resources website at livetheorangelife.com. Locate the Withdraw or Roll Over
Money option in the Savings & Retirement menu, and follow the instructions provided.
1
Financial Engines® Income+ is a feature of Professional Management intended to provide income payouts from a 401(k). It utilizes existing FutureBuilder funds and provides flexibility and liquidity. There are no additional
fees for Income+ but you must be enrolled in Professional Management (fees apply) to be eligible. The Income+ feature is protected by U.S. Patent No. 8,521,633. With Financial Engines Professional Management with
Income+ program, payouts begin in retirement at your request. Financial Engines seeks to manage your investments to create payouts that can last into your early 90s. If you think you’ll want payouts longer than that,
or want to guarantee your income at any time, please consider an optional out-of-plan annuity purchase. Neither Financial Engines nor Home Depot guarantees payout amounts or payouts for life. Advisory services
provided by Financial Engines Advisors L.L.C., a federally registered investment advisor and wholly owned subsidiary of Financial Engines, Inc. Financial Engines does not guarantee future results. Financial Engines is
not affiliated with the Income Solutions Annuity Program offered by The Home Depot.
2
INCOME SOLUTIONS® is a registered trademark of Hueler Investment Services, Inc., U.S. Patent No. 7,653,560, and is not available in U.S.V.I., Puerto Rico or Guam. Income Solutions ® is not affiliated with the
Financial Engines Program offered by The Home Depot. This tool allows you to purchase an annuity with dollars from your FutureBuilder Plan (as well as any other assets you may have). An annuity pays a monthly
amount for your lifetime or a specified number of years. You will have access to lower-cost, institutionally priced annuities for either you or you and a survivor. There is no cost to obtain annuity quotes,
but purchases are subject to a one-time transaction fee.
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