managing your contributions
You can generally make changes to your account at any time, provided you are not on a leave of absence without pay.
The 2018 limits are as follows:
- You can contribute on regular pay up to $275,000. Once your regular pay for the year has reached $275,000, all contributions - employee and employer - to the ESIP automatically stop. Keep in mind regular pay includes your Chevron Incentive Plan (CIP) payment (if any).
- You can contribute up to $18,500 (or $24,500 if you are age 50 or older) on a before-tax and Roth 401(k) combined basis.
- If you reach the combined before-tax and Roth 401(k) limit, the first 2 percent of your contribution will convert to basic after-tax contributions so that you continue to receive the company match. Your before-tax and Roth 401(k) supplemental contributions will stop.
- Your total annual employee and company contributions, or "Annual Additions," into the ESIP cannot be more than $55,000 ($61,000 if you are age 50 or older) or 100 percent of pay, whichever is less.
If you want to contribute the maximum amount under the plan and are unsure of the right percentage(s) to elect, you can use the ESIP Contribution Calculator. If you prefer to calculate on your own and want to contribute the maximum "total" amount, make sure you account for the company match when deciding how much you should contribute. The company match is fixed at 8 percent of your pay if you contribute at least 2 percent of your pay. If you subtract 8 percent of your pay from $55,000 (or $61,000 if you are age 50 or older), the remaining is approximately the maximum amount you can contribute each year.
To change your ESIP contribution percentage, log on to NetBenefits or call Fidelity at 1-888-825-5247.
It can take up to two pay periods for your changes to take effect. Keep this in mind when planning any changes to your contributions. For example, in advance of any CIP payment.
Chevron Incentive Plan (CIP) award payouts are considered part of your regular pay* in the Chevron Employees Savings Investment Plan (ESIP). This means a portion of your CIP payout will automatically be included in your usual paycheck deduction to the ESIP (up to IRS limits); you do not need to do anything. But, if you’d rather save more or less of your upcoming CIP towards retirement, you can change your ESIP paycheck deduction in advance of your CIP payment.
- If you change your ESIP paycheck deduction to a lower contribution percentage, less of your regular pay (and your CIP payout) will go into your ESIP account.
- If you change your ESIP paycheck deduction to a higher contribution percentage, more of your regular pay (and your CIP payout) will go into your ESIP account.
If you want to make a change, you must take action in advance of your CIP payment. Keep in mind that it can take up to two pay periods for your changes to take effect. If you change your deduction specifically for the CIP pay period, don't forget to change your percentage again between February 23 and March 5. Again, please keep in mind, the timing may work out such that it takes more than one pay period for a change to take effect. U.S. Payroll will not be able to make any payroll adjustments as a result of your ESIP contributions.
The ESIP Contribution Calculator can help you determine how to maximize your contributions throughout the year.
Remember – to receive the company match (also known as company contributions), you must contribute a minimum of 1 percent of your pay.
- If you contribute 1 percent, the company match is 4 percent.
- If you contribute 2 percent or more, the company match is 8 percent.
*Note: If you are a PSG 28 or higher, then only non-deferred CIP is considered regular pay in the ESIP.
Please contact the HR Service Center with any questions.