Choice Hotels International, Inc. | 1 Choice Hotels Circle, Suite 400 Rockville, MD 20850
Retirement Savings and Investment Plan
Our 401(k) plan is a great way to save and invest in your future. You will become eligible to participate in the plan after 3 months of employment with the company. As a participant, you may save up to the IRS annual maximum of $18,000 a before-tax basis. Associates over age 50 may contribute additional $6,000 into the plan as a "catch-up contribution". Because the contributions are made through regular payroll deductions before taxes are taken out, your reported taxable income is lower. Over time, this advantage can make a big difference to you.
You may invest your contributions and those the company makes on your behalf in many diverse, competitive mutual funds. Conservative to aggressive, stocks and bonds, domestic and international - each investment fund has a different objective and strategy. You choose how to invest the funds.
The company will match your pre-tax salary reduction contributions (excluding "catch-up" contributions) to your 401(k) account. The company matching contribution will be an amount equal to 100% of your contributions up to 3% of your compensation, plus 50% of your contributions on the next 2% of your compensation.
Your pre-tax salary reduction contributions to the 401(k) Plan (including any "catch-up" contributions) are 100% vested. The company matching contribution is fully vested.