Share in the success you help us create

How it adds up

The retirement rule of thumb is to save at least 15% of your pre-tax income¹ each year, assuming you save for retirement from age 25 to age 67. And this comprehensive package makes it easier to do just that by helping you save in more ways than one.

¹Based on past years’ contributions, a compensation of $50,000 and years of service. Also based on most people needing between 55% and 80% of their preretirement income to maintain their lifestyle in retirement.

 

Enrollment and eligibility

Eligible employees are immediately enrolled in the Profit Sharing Plan on the first day of employment. For more information on eligibility requirements, please review the benefits guide.

Contributions

Raymond James’ contributions to this plan on your behalf are based on your years of service as well as your eligible fiscal year compensation, which includes most W-2 fiscal year compensation capped at the IRS annual compensation limit. Contributions will be posted in the first fiscal quarter of the year.

We use a point system to calculate your share:

• 15 points for each eligible year of service.
• One point for each $100 of eligible compensation.

To better illustrate how we calculate your share, consider these examples.

John has been employed at Raymond James Financial for four years and has a salary of $50,000 – giving him 560 points (15 * 4) + ($50,000/100). For this example, let’s assume that the total contribution for the Profit Sharing Plan for all eligible employees is $10,000,000, and the combined total points for eligible employees is 2,000,000. That makes John’s share in the Profit Sharing Plan 560/2,000,000 = 0.00028 or 0.03% * $10,000,000 = $2,800.

Now consider Jane. If Jane has been employed for 20 years and her current salary is the same as John’s, she will have 800 points ($50,000/100) + (15 * 20). Jane’s share would be 800/2,000,000 = 0.0004 or 0.04% * $10,000,000 = $4,000.

Please note, in order to accurately calculate your contribution you will need to know the total employer contribution and the total number of points for eligible employees for the plan year.

Vesting

The Profit Sharing Plan uses a five-year graded vesting schedule, as shown below. You will attain full vesting in the event of disability, death or reaching normal retirement age (age 65).