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This page contains FAQs for topics that include: 2020 Extra Insurance, 2020 Walmart 401(k) Plan.

2020 Extra Insurance

If I choose critical illness or accident insurance coverage, will I receive an ID card?

No. If you need information about your coverage, you can find Allstate’s contact information on AllstateAtWork.com/Walmart.

Where can I find detailed information about the critical illness and accident insurance plans?

See the 2020 Associate Benefits Book for more information. You can also go to AllstateAtWork.com/Walmart or call Allstate at 800-514-9525, Monday through Friday, 8 a.m. to 8 p.m. ET.

How do I submit a claim to Allstate?

You can provide notice of a claim online at AllstateBenefits.com/MyBenefits. You can also call Allstate at 800-514-9525 or provide notice of claim by fax at 877-423-8804.

Is there a waiting period for coverage in the critical illness insurance plan?

No. However, if you enroll during Annual Enrollment you will need to wait until Jan. 1 for coverage to take effect.

Does the critical illness insurance plan have exclusions for preexisting conditions?

Yes. A critical illness diagnosed before the effective date of the Allstate policy would generally be excluded from coverage. Call Allstate at 800-514-9525 for details about preexisting condition exclusions.

What do the critical illness and accident insurance plans cover?

Critical illness insurance provides additional insurance for associates and their covered dependents in the event of a critical illness diagnosis. This plan pays you directly. It can be used to offset your share of the costs, including your deductible and coinsurance. Covered illnesses include: invasive cancer, heart attack, stroke, coronary artery bypass surgery, end-stage renal failure, Alzheimer’s disease, and more.

Accident insurance provides benefits if you or any covered dependents seek medical treatment or are hospitalized as a result of a covered accident that happens off the job. This plan pays cash directly to you, which you can use to offset your share of the costs, including your deductible and coinsurance. Some of the qualifying procedures include: emergency room treatments, hospitalization, burn therapy, major diagnostic exams, and other accident-related costs.

Why can salaried associates and truck drivers choose higher levels of AD&D coverage?

So they are able to purchase coverage between five and eight times their annual salary—the amount recommended by the insurance industry. The coverage levels currently offered to hourly associates also generally meet insurance industry recommendations.

What life insurance options are available to part-time and temporary associates?

After a year of continuous employment and regardless of the number of hours worked, part-time and temporary associates are eligible to enroll in optional associate life insurance and optional child life insurance.

How much company-paid life insurance is available for full-time hourly and management associates?

They get an amount equal to their pay, including overtime and bonuses, during the previous 26 pay periods of active status (52 pay periods if paid weekly) prior to their death, rounded to the nearest $1,000, up to a maximum of $50,000.

What are the optional tiers of coverage for management, full-time, part-time, and temporary hourly associates?

Full-time, part-time, and temporary hourly associates can purchase optional associate life insurance in the following amounts: $25,000, $50,000, $75,000, $100,000, $150,000, and $200,000. Depending on the coverage amount selected and when you enroll, Proof of Good Health may be required. There are additional optional life insurance tiers available to management associates: $300,000, $500,000, $750,000, and $1,000,000.

What are the optional tiers of coverage for management associates, management trainees, California pharmacists, full-time Vision Center managers, and full-time truck drivers?

These groups can purchase optional life insurance in the same amounts as full-time hourly associates (see question directly below). They also have the option to purchase the following tiers of coverage: $300,000, $500,000, $750,000, and $1,000,000. Proof of Good Health may be required.

What life insurance coverage options are available for spouse/partners and dependent children?

Spouse/partner life insurance options include $5,000, $15,000, $25,000, $50,000, $75,000, $100,000, $150,000, and $200,000 tiers. Proof of Good Health is required for any tier. Please keep in mind that spouse coverage is only available to management and truck-driver associates.

Dependent children life insurance options include $5,000, $10,000, and $20,000 tiers. Proof of Good Health is not required.

Does canceling a commuter order at WageWorks.com stop my payroll deduction?

No. It only stops your parking and/or transportation selection. To change or stop payroll deductions, log in to your account at WageWorks.com and click on either the “modify” or “stop” deductions link, or contact WageWorks Customer Service at 877-924-3967.

What happens if I close my WageWorks account but don’t cancel my payroll deduction?

As long as you’re deducting money from your paycheck for commuter expenses, your WageWorks account will stay open and your deductions will be deposited into your account. Your unused funds will remain in your account until you use them to purchase a commuter option at a future date.

What ID code should I use to set up a WageWorks account as a new user?

The four-digit ID code is the last four digits of your Walmart Identification Number (WIN).

How much can I deduct from each paycheck for commuter expenses?

The monthly pretax and payroll limit for each plan is:

• Transit commuter card: $265

• Parking account plan: $265

The maximum account balance is $1,500 for each plan. Once you reach the account balance max, deductions will stop and will start again once the balance is spent down on your account.

How does the transit commuter card work?

It works like a debit card, and can be used at transit agency ticket vending machines and ticket windows. When using the transit card at an agency ticket vending machine, choose the “Credit” option.

Is the transit commuter card a credit card?

No. The transit commuter card is a stored-value card, which works just like a debit card at transit locations.

There is no line of credit available, and your personal credit isn’t affected by use of the card. Only the funds they deduct from your paycheck are loaded onto the card and are available for use. Also, your transit commuter card will only be accepted by transit agencies for eligible commuting expenses.

When will I receive my transit commuter card?

You can expect it in the mail before the first day of the month in which your deductions start. For example, if you enroll by Sept. 10, your transit commuter card will arrive at your home before your first payroll deduction has been loaded onto the card in October.

What if I want to buy a transit pass with my transit commuter card and it costs more than the balance on my card?

You can pay for the transit pass using another form of payment, or you can add more dollars to your transit commuter card by accessing your WageWorks account and using your own debit or credit card.

If I have a balance on my transit commuter card, can I receive a refund?

No. Once funds have been designated as pretax dollars for this benefit, they can only be used for eligible commuting expenses. Your deductions are nonrefundable.

Can I use funds from my transit commuter card to pay for parking expenses?

No. Once you have elected the funds to be used for transit expenses, they cannot be used for parking based on current IRS regulations.

What happens to the balance on my transit commuter card if I leave Walmart?

Because this benefit is offered exclusively to you as a Walmart associate working in an urban market, this benefit will no longer be available to you if you leave Walmart. If you leave Walmart, per IRS regulations, you have 90 days to spend any remaining balance on your transit commuter card.

What happens to the balance on my transit commuter card if I relocate to a nonurban market?

If you can’t use any remaining funds on your card before you relocate, those funds will remain available on your card. No refunds are allowed, per IRS regulations. If you transfer back to an urban market, those funds will still be available to use.

Is there a dollar limit on how much I can load onto a transit commuter card?

Yes. The maximum you can load onto your card is $1,500. If you reach this limit, WageWorks will discontinue your payroll deductions until funds on your card have been used. You will need to reenroll in the program once your account balance has been used.

Can I use the transit card purchased through my WageWorks account for personal transportation in addition to work commuting?

No. IRS guidelines state that pretax funds should only be used for commuting to and from work.

What if I want to buy a parking option that costs more than the balance in my WageWorks account?

You can add more dollars to your parking commuter card by accessing your WageWorks account and using your own debit or credit card.

Can I use funds from my parking account plan to buy a transit pass?

No. Once you have elected the funds to be used for parking, they must be used for parking based on current IRS regulations. 

What happens to the balance in my parking account plan if I stop working for Walmart?

Because this benefit is offered exclusively to you as a Walmart associate working in an urban market, this benefit will no longer be available if you leave Walmart. If you leave Walmart, you will forfeit any remaining funds in your parking account plan immediately per IRS regulations.

What happens to any balance in my parking account plan if I relocate to a nonurban market?

If you can’t use any remaining funds in your parking account before you relocate, those funds will remain in your account. No refunds are allowed per IRS regulations. If you transfer back to an urban market, those funds will still be available.

Is there a dollar limit on how much I can load onto my parking account card?

Yes. The maximum dollar amount you can load onto their parking account card is $1,500. If you reach this limit, WageWorks will discontinue your payroll deductions until funds on your card have been used. You will need to reenroll in the program once your account balance has been used.

2020 Walmart 401(k) Plan

What is the Roth 401(k) option?

The Roth option lets you pay federal income taxes on the contributions you make to your 401(k) today, instead of paying them later when you take the money out in retirement. This is the reverse of traditional, pretax 401(k) contributions, and is designed to create tax-free income in retirement. 

What’s the difference between pretax and Roth contributions?

It’s all about federal income taxes:

  • Traditional pretax contributions come out of your paycheck before taxes do. You save on your tax bill today, and your money grows tax-free. You’ll only pay taxes when you take your money out in retirement. 
  • Roth contributions work the other way around. You pay the taxes as usual before you put the money away, so you don’t have to pay them later–setting up tax-free income when you retire.
Are there any other differences?

Just a few. To get tax-free treatment when you take Roth money out, you’ll need to take a “qualified distribution.” This means you need to wait at least five years from the year you start making Roth contributions, and you must be age 59½ or older. For high earners, there are also no “modified adjusted gross income” (MAGI) limitations like there are on a Roth IRA. There are also special rules that affect rolling your plan account over to another 401(k) or an IRA.

What should I consider when choosing between pretax and Roth?

For most people the key thing to think about is your tax rate, today and in the future. Do you expect that you’ll pay taxes at a higher rate when you’re retired? If so, the tax-free income Roth savings can produce may be an advantage. Or do you think you’ll pay taxes at a lower rate in retirement? In that case, you may be better off taking the tax break now, and waiting until retirement to pay the taxes on your money. Retirement and tax planning can get complicated, so it’s a good idea to get professional advice before making this important decision.

Do I have to enroll in a new 401(k) plan to use the Roth option?

No, it’s all part of the Walmart 401(k) Plan. Roth contributions just go into a separate bucket within your overall Plan account, because they’re treated differently for tax purposes.

Once I choose a type of contribution, can I change my mind?

Yes. You can start, stop, or change your 401(k) contributions at any time, including your pretax or Roth election and the amount.

Can I choose both Roth and pretax at once?

Yes. Many savers hedge their bets by splitting their contributions between the pretax and Roth options.

How much can I contribute with the Roth option?

The same IRS limits apply to either pretax or Roth contributions, or to a combination of both. 

Do I still get the company match with the Roth option?

Yes. Whichever you choose, Walmart will match the first 6% you put in dollar for dollar once you become eligible for the match.  Remember that matching contributions are made on a pretax basis and are subject to taxation at withdrawal, including a possible 10% additional federal tax if withdrawn before age 59 ½, unless an exception applies.

Can I move pretax money I’ve already saved into the Roth option, and pay the taxes now?

No. The Walmart 401(k) Plan does not allow a “Roth conversion” at this time.

How is the company match calculated?

Walmart will match, dollar for dollar, any contribution you make to your plan account, up to 6% of your eligible wages for the Plan year (Feb. 1 through Jan. 31). The match is made each pay period you contribute, and will continue until the full amount you are eligible for is made each Plan year.

When am I vested in the Walmart 401(k) Plan matching contributions?

You are immediately 100% vested in both the money you contribute to your 401(k) account and your Company Match account. “Vested” simply means the money belongs to you, regardless of your employment status or years of service.

Is the 6% based on gross pay?

The dollar-for-dollar match is up to 6% of your pretax-eligible pay, which includes:

• Regular salary or wages, including bonuses and incentive dollars

• Overtime, paid time off (used and paid out), bereavement, jury duty, and premium pay

• Differential wage payments you receive from Walmart while you are on a qualified military leave

Does overtime pay count as eligible wages?

Yes. Base pay, incentive pay (like MyShare and SamShare), and overtime pay all count as eligible wages.

Can I roll over my 401(k) balance from my previous employer?

Yes. Just call the Merrill Lynch Customer Service Center at 888-968-4015 to find out how.

When can I start saving in the Walmart 401(k) Plan?

As soon as administratively feasible after your date of hire is entered into the payroll system.

How much can I save in my Walmart 401(k) Plan account?

You can save 1% to 50% of your eligible wages from each paycheck in your 401(k) account, up to the maximum allowed by the IRS. This annual limit is indexed to inflation and subject to change, typically each year. The 2020 maximum is $19,500. If you are age 50 or older in 2019, you can save an additional catch-up contribution of up to $6,500. 

How will my incentive (bonus) affect the company-matching contributions?

Your incentive pay is considered 401(k) eligible and will be treated like any other paycheck.

When will I be eligible for the company-matching contributions?

On the first day of the calendar month following your first anniversary of employment with Walmart, as long as you are credited with at least 1,000 hours of service during your first year and are contributing to your 401(k) account. You can still contribute your own money to the plan before you become eligible for the match.

What if I contribute 6% or less during the year?

You will be matched dollar for dollar up to 6%. If you contribute 3%, the company will contribute 3%.

What if I contribute more than 6% during the year?

If you contribute more than 6% to your Walmart 401(k) Plan account, the company will still only match up to 6%. For example, if you contribute 10%, the company will contribute 6%.

What if I contribute less than 6% during the first part of the year and more than 6% later in the year?

Your match per pay period is based on the average amount you’ve saved during the year—your Plan year-to-date average savings rate.

How can I calculate my Plan year-to-date average savings rate?

Divide your Plan year-to-date contributions by your Plan year-to-date wages. (Please note that the Plan year for the Walmart 401(k) Plan runs Feb. 1 through Jan. 31.) For example, if your Plan year-to-date contributions are $2,000 and your Plan year-to-date wages are $20,000, your average savings rate would be 10%. Since the maximum match is 6%, your match would be $1,200.

What if I contribute the IRS maximum contribution? Will I still get the full 6% company match?

Yes. Your contributions are matched at the rate of 6% each pay period. If you reach the IRS maximum contribution limit before the company match equals 6% of your eligible pay, the company will continue making matching contributions of 6% of your Plan year-to-date wages (even if no contributions are being withheld from your paycheck), until the full eligible company match is contributed.

How much of the company match will I receive if I reach the IRS maximum contribution limit?

The company match is dollar for dollar on each dollar you contribute to your 401(k) account, up to 6% of your eligible wages for the Plan year. Therefore, the amount you will receive is based on your Plan year-to-date wages.

See the chart below for examples, which uses the 2019 maximum contribution of $19,000.

If your annual pay is: And you contribute this % of your pay:** Your maximum contribution*** would be: Walmart’s matching contribution would be: Total contribution to your 401(k) would be:
$50,000 36% $18,000 $3,000 $21,000
$100,000 18% $18,000 $6,000 $24,000
$150,000 12% $18,000 $9,000 $27,000
$275,000 7% $19,000 $16,500 $35,500
*The IRS limits the amount of annual compensation that can be taken into account under the Plan for any participant. For 2019, the limit is $280,000.
**The Plan limits your contributions to 50% of your eligible pay.
***The IRS limits the amount you can contribute to the Plan each year. For calendar year 2019, the limit is $19,000.
How can I change my 401(k) savings contributions?

Go to:

One.Walmart.com/401k

Benefits.ml.com

Or, you can call the Merrill Lynch Customer Service Center at 888-968-4015.

Do 401(k) contributions automatically increase during Annual Enrollment?

No. When you complete your online enrollment session, you may notice a suggested 1% increase to your 401(k) contribution for the next pay period. This is to encourage associates to save more; however, you may select “no change” or increase or decrease your contribution amount by using the drop-down menu.

If I enroll or make a change to my 401(k) contribution amount, when will the change become effective?

Changes will take effect immediately and will be reflected on your next paycheck, or as soon as administratively possible.

Is Walmart stock an investment option for the Walmart 401(k) Plan?

No. If you currently have Walmart stock in your profit-sharing and 401(k) accounts, you are free to continue to hold it. If you want to purchase Walmart stock, check out your options with the Associate Stock Purchase Plan.

Will deductions automatically stop when I reach the IRS maximum?

Yes. Once you reach the IRS maximum level for contributions, your deductions will automatically stop.

What is the vesting schedule of the 401(k)?

Contributions are always 100% vested in your Walmart 401(k) Plan account, meaning that you own the money regardless of employment status or years or service. Old profit-sharing accounts are the only funds subject to a vesting schedule.

How do I access my account online?

If you haven’t created an account on Benefits.ml.com, click “Create User ID” at Benefits.ml.com on the site and follow the directions to open an online account. If you don’t have ready access to a computer, call the Customer Service Center at 888-968-4015. If you’ve never called the Merrill Lynch Customer Service Center before, you will be prompted to enter a PIN. Your PIN is your birth date (MMDDYY). For example, if your birthday is Feb. 4, 1976, your PIN would be 020476.

What are the loan provisions under the Walmart 401(k) Plan?

You may apply for a loan from your 401(k) account. Two types of loans are available: one specifically for buying a home and the other for general purposes. Information on the loan provision can be found in your 2020 Associate Benefits Book.

How do I take a loan from my 401(k)?

By completing the online form at Benefits.ml.com. If you have questions, call the Merrill Lynch Customer Service Team at 888-968-4015.

Can I request a hardship withdrawal from my 401(k) account without taking a loan first?

Yes, subject to Plan rules and IRS guidelines. Tax law requires that before you can request a hardship payout you must have already obtained any other payouts available under the Plan, including loans.

Loans and hardship withdrawals are significantly different, and both forms have important tax consequences. Please consult a tax advisor when considering options.

Do I have to pay a fee for a 401(k) loan?

The fees for processing a 401(k) loan vary, depending on the type of loan. Please contact the Merrill Lynch Customer Service Team at 888-968-4015 for more information. Any fees you pay are used to cover the cost of processing your loan, and are not paid back to your account.

Why is interest charged on a loan if it’s just being paid back to my account?

Because the money you borrow would grow from investment earnings if it remained in your 401(k) account. It’s important to fully repay both the principal and the interest when you take a 401(k) loan.

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